In this article:
Bumper your tokens to protect them from downside price movements.
To bumper your crypto, just navigate to the Bumper dApp and connect your wallet.
NOTE: To open a protection position, you need to hold an amount of BUMP tokens in the same wallet as the crypto you’re protecting. You can purchase BUMP in the dApp, or you can buy directly from UniSwap or Bitmart.
Make sure you’re on the PROTECT tab. Select the crypto you want to Bumper (e.g. ETH) and click the orange Protect button.
There are now three things you need to decide on.
1. Amount - How much of your crypto to Bumper.
2. Floor - The price at which your crypto won’t drop below.
3. Term - How long you want to Bumper your crypto for.
You will see at the bottom of the screen the estimated costs for protection. Once you are happy, confirm the position you wish to open, and then approve the transaction in your web3 wallet.
Once complete, you will see a summary of your position, and your protection is now active.
Need more help? Here’s a step-by-step guide on how to open a protection position.
Terms expire with your position in two possible states: Above the floor or below the floor.
If your position is below the floor, then you are ready to claim stablecoins at the value of the floor (minus the fees and premium).
To do this, click on the CLAIM button. You will be given a summary of how much will be returned to you in USDC, as well as your BUMP bond and any incentives you’ve earned. Once you approve the transaction, funds will be transferred to your wallet.
If your position is above the floor, then you have the option to either close your position, which returns your deposited crypto to your wallet (minus the fees and premium charged) or renew your term. To close your position, click on the close button. You will be given a summary of what will be returned to you, including your BUMP bond and any incentives you’ve earned. Once you approve the transaction, your crypto will be returned to your wallet.
If your position ends above the floor, you have the option to renew your protection.
Renewing allows you to set a new floor and term. Fees and premiums which have been accrued to date will continue to accrue and will be paid out when you finally close or claim on your position.
To renew your term, simply click on the Renew button on the associated position. Now set a new term and floor, and then confirm as before.