UseFelix: Designed for Traders, Not Financial Institutions

Our Mission

The team behind UseFelix had a clear goal: build a single account where a trader can hold stablecoins, purchase tokenized US equities, open perpetual futures positions, and borrow against spot holdings — all without stepping off-chain.

That sounds simple. It isn't. Bringing real-world equity exposure on-chain demands tight coordination between tokenization infrastructure, liquidity providers, and a settlement layer swift enough to handle equity market hours. UseFelix runs on HyperLiquid, a high-throughput L1 purpose-built for order book trading.

The mission is intentionally narrow. We have no interest in being all things to all people. A sharp product centered on the trader's workflow consistently outperforms a sprawling platform every time.

Technology and Protocol

UseFelix issues feUSD, a stablecoin backed by collateralized debt positions. The CDP model draws from well-established designs — anyone familiar with Aave or MakerDAO will recognize the mechanics. The key difference lies in the objective: feUSD exists specifically to fuel trading activity, not to sit idle.

Spot equities on the platform are tokenized assets. Each token represents economic exposure to an underlying security — NVDA, TSLA, AAPL, SPY, and around 30 other instruments at launch. These are not synthetic derivatives priced by an oracle. They are backed by real securities held in custody, which matters for anyone thinking carefully about counterparty risk.

The lending side of UseFelix lets users deposit crypto or tokenized equities to earn yield, or borrow feUSD against those assets. Rates are set by on-chain supply and demand. No committee determines them. No governance vote is needed to adjust a parameter mid-session.

Perps are available alongside spot, meaning a trader can hold NVDA spot, earn lending yield on it, and simultaneously run a short perp position as a hedge — all through one interface. That kind of cross-product flexibility is exactly what the UseFelix protocol was designed to enable.

Our Approach to Risk

DeFi has a long record of protocols that expanded rapidly and collapsed badly. The UseFelix team has studied those post-mortems. Several conclusions follow from that study.

Collateral ratios are set conservatively at launch. Liquidation mechanisms are stress-tested against adverse scenarios before any market goes live. The tokenized equity custody arrangement is structured so that a failure at the protocol layer does not automatically cascade into a failure at the custody layer.

Overnight trading sessions are clearly labeled in the interface — the platform displays which session is active and when it closes. Traders working with tokenized equities need this information. We don't hide it deep in documentation.

Smart contract code undergoes independent review before any deployment. That's no longer a differentiator; it's a minimum standard. What matters more is what follows deployment: transparent on-chain state, readable position data, and incident handling that doesn't require a Discord announcement to decipher.

Full details on the protocol's risk parameters are available in the documentation. It's worth reviewing before trading with meaningful size.

The Team

The people building UseFelix come from backgrounds in trading, protocol engineering, and financial infrastructure. No one on the core team is unfamiliar with what unfolds when a liquidation cascade hits a poorly designed collateral system at 2am. That experience shapes how the protocol is constructed.

The team is small — deliberately so. A leaner team ships faster, communicates with greater clarity, and leaves fewer places for poor decisions to go unnoticed. As UseFelix scales, that may evolve — but the preference for directness over headcount will not.

We're accessible on Twitter. Serious protocol feedback receives a serious response. If you've spotted something that looks like a risk, don't post it publicly — reach out to us directly.

Points and Community

UseFelix operates a points program that tracks protocol activity across trading, lending, and borrowing. Points accumulate based on actual usage, not merely on holding a token. The goal is to reward people who genuinely engage with the platform — not those who park capital and wait.

The community has grown largely through word of mouth among traders on HyperLiquid. That's the way we prefer it. A user base that found the platform because it solves a genuine problem is more resilient than one assembled through incentive farming.

If you'd like to understand the protocol before committing capital, the Q&A page addresses the most common questions in depth. For most users, it's a better entry point than the full documentation.

Looking Forward

The roadmap for UseFelix runs along two tracks. The first is depth: more instruments, tighter spreads, improved liquidation mechanics, and lower fees as volume grows. The second is breadth: additional collateral types, cross-margin between spot and perps, and eventually support for more chains as HyperLiquid's bridging infrastructure matures.

Neither track carries a fixed timeline posted publicly. Markets shift. The protocol must be able to respond to current conditions, not projections made six months prior.

What remains constant: the focus on traders, the commitment to transparent on-chain state, and the preference for excelling at fewer things rather than failing at many.