Derive

Derive (DRV) — a reference card for a crypto project: what the product does and how verifiable the project’s key claims are; also — alignment with the Decentralized AI thesis (DecAI Fit).

Derive — a DeFi project: a self‑custodial derivatives exchange/protocol (options/perps) and an ecosystem around Derive L2; token (symbol: DRV).

Disclaimer

Important: this page is a reference overview of the project. Within DecAIHub, we separately record a verification based on open sources within the AI thesis (what is real AI/onchain/why a token, and which sources this is based on).
This is not financial advice and not a recommendation to buy/sell/hold any asset. We do not assess price, returns, or entry/exit timing.
Conclusions are based on publicly available materials found as of the verification date. The absence of confirmation does not imply the absence of the technology.

TL;DR (for readers who are not into AI)

What it is: a crypto derivatives exchange/protocol (options and futures/perps) with self‑custodial execution and an API.
Who it’s for: traders and teams that need a derivatives market and an API; liquidity providers/participants in incentive programs.
Why onchain/token: the DRV token is used for staking, governance, incentives and buybacks (Tier‑1 docs/blog).

How it works (very briefly)

The user does: deposits collateral/opens positions via the Derive interface or API.
The system does: calculates margin/risks and executes trades/liquidations according to the protocol rules (as described in the Tier‑1 token/documentation).
The user gets: derivatives positions (perps/options) and portfolio management with a self‑custodial model.
Where the blockchain is: the protocol and governance are oriented toward Derive L2 (mentioned in Tier‑1); the DRV token exists on Ethereum and Derive L2.
Token role: staking → stDRV (governance) + incentives/buybacks/fee discounts (Tier‑1).

Quick links: AI thesis fit

Project passport

Field	Value
Project name	Derive
Also known as (aliases)	DRV \| derive.xyz \| Lyra (migration)
Logo (logo)	../assets/53_derive_logo.png
Token symbol (ticker)	DRV
Category	DeFi
Primary chain (chain)	Ethereum
Type	EVM
Network status	mainnet
Consensus (consensus)	PoS (Ethereum)
Launch date (launch_date)	2025
Project status (status)	active
Token (standard)	ERC-20
Token contract	0xB1D1eae60EEA9525032a6DCb4c1CE336a1dE71BE
Token model (token_type)	utility (staking + governance)
Max supply	1,500,000,000
Issuance	emissions (staking incentives; buybacks)
Tokenomics (tokenomics, brief)	staking rewards + governance; 25% protocol revenue → buybacks (Tier‑1)
Governance	DAO (stDRV; as claimed)
Admins/keys	—
Audit	yes (Sigma Prime; vault contracts)
Bug bounty	—
Team (team)	—
Funding (investors/funding)	—
AI component (ai_component)	—
Use‑case (use_case)	self-custodial options + perps exchange
DecAI Fit — AI thesis fit	0/6 — no AI reality and no AI intent (ai_score=0)
DecAI Fit component summary	ai_score 0 / onchain_score 3 / token_score 2 / evidence_score 2
Last verified	2026-02-11

Links (links_*)

Type	Link
Website	https://www.derive.xyz/
Docs	https://www.derive.xyz/files/v2-whitepaper.pdf
GitHub	https://github.com/derivexyz
Releases / Changelog	—
Whitepaper	https://www.derive.xyz/files/whitepaper.pdf
Roadmap	—
Security advisories	https://github.com/derivexyz/v2-core/security/advisories
Explorer	https://etherscan.io/token/0xB1D1eae60EEA9525032a6DCb4c1CE336a1dE71BE
X	https://twitter.com/derivexyz
Discord	https://discord.gg/derive
Telegram	https://t.me/Derive_Announcements
Medium	—
Audit report(s)	https://help.derive.xyz/en/articles/9709491-audits-vault-smart-contracts
Bug bounty	—
CoinGecko (profile, reference)	https://www.coingecko.com/en/coins/derive
CoinMarketCap (profile, reference)	https://coinmarketcap.com/currencies/derive/

General project overview

Derive is a derivatives ecosystem (options/perps) and a self‑custodial exchange, available via a UI and an API. The Tier‑1 documentation describes Derive as a rollup ecosystem with a risk engine/portfolio margining and governance via stDRV on Derive L2, and also links the DRV token to incentives and buybacks.

Features/modules

Exchange (UI + API): trading of spot/perps/options via the interface and the API (Tier‑1 website/docs).
Derive L2 / protocol (claimed): a rollup on the OP Stack + a risk engine and liquidations/fees (Tier‑1 docs token).
DRV token: staking → stDRV (governance), incentives and buybacks, fee discounts (Tier‑1 docs/blog/site).
Vault strategies: there is a mention of “tokenized vault strategies”; audit information has been published for them (Tier‑1 help).

Typical scenarios

Scenario 1 (trading): a trader deposits collateral → opens perps/options positions → gets PnL/exposure to the underlying assets.
Scenario 2 (staking/governance): a holder stakes DRV → receives stDRV and participates in governance/receives weekly rewards (Tier‑1).
Scenario 3 (vault): a user deposits collateral into vault strategies → receives a tokenized strategy/yield (Tier‑1 help; the strategy details depend on the vault).

Getting started (wallet/network)

What you need: web access to the Derive application; for the API — keys/onboarding via the developer hub (Tier‑1).
Network/chain: the DRV token lives on Ethereum and Derive L2 (Tier‑1 docs); trading activity depends on the Derive infrastructure (Derive L2 is mentioned).
Fees: protocol fees (trading/rollup/liquidation fees) are mentioned as a source of DAO revenue (Tier‑1 docs).

Architecture/tech (non‑AI)

Components: Derive Chain (a rollup on the OP Stack), Derive Protocol (risk engine), Derive Exchange (GUI + API) (Tier‑1 docs token).
Participant roles: traders/users, LPs/participants in incentive programs, DRV stakers (governance).
Where logic runs: L2 (Derive chain) — trading operations/governance (claimed in Tier‑1); L1 Ethereum — the token and interop (Tier‑1).
Dependencies: bridges/interop (the blog mentions LayerZero OFT and bridging), external liquidity markets (aerodrome/kraken/gate as points of DRV usage in the blog).

Token/economics (expanded, no forecasts)

Token utility: staking → stDRV (governance), protocol usage incentives, buybacks and fee discounts (Tier‑1).
Protocol necessity drivers: governance and incentives are described as part of the operation of the Derive DAO/ecosystem (Tier‑1 docs/blog).
Who pays fees: protocol participants generating fees via trading/liquidations/the rollup (Tier‑1).
Where fees go: 25% of protocol revenue is directed to buybacks (Tier‑1 docs/blog/site); other fee flows were not detailed.
Issuance/burn: Tier‑1 describes an emissions schedule for staking rewards, with a transition to buyback‑funded rewards (Tier‑1 docs).
Security/incentive mechanisms: a 28‑day unlock for stDRV or an instant unlock with a 20% penalty; weekly rewards (Tier‑1 docs).
Distribution and token issuance schedule: — (the full distribution structure was not reconstructed from the extracted Tier‑1 sources; the blog has partial figures on the airdrop/migration).
Treasury: a DAO treasury is mentioned (unused rewards are returned to the treasury; Tier‑1 docs).

Governance

Who makes decisions: governance via stDRV (Tier‑1 docs); there is a public governance website (Tier‑1 website DRV page).
How protocol parameters change: via the governance process (proposal wizard/delegation; Tier‑1 docs).
Where decisions are discussed/made: https://gov.derive.xyz/info
Keys/multisig: —.

Security and incidents

Audits: the vault contracts (tokenized vault strategies) — an audit by Sigma Prime; the reports are in a public repository (Tier‑1 help).
Bug bounty: —.
Incidents: — (not established).
Threat model: derivatives risks (liquidations/margin management), L2 infrastructure risks, risks of smart‑contract vulnerabilities and integrations.

Project status and timeline

Current status: DRV live since 2025‑01‑15 (Tier‑1 blog); the dApp/docs are available.
Key releases/milestones: the LYRA → DRV migration and the launch of staking/governance (Tier‑1 blog).
Roadmap: — (not extracted).

Ecosystem/integrations

Integrations: API (developer hub), bridging/interop (LayerZero OFT is mentioned in the Tier‑1 blog), external venues/liquidity pools for DRV (Tier‑1 blog).
Partners: — (not verified).
Where it’s actually used: derivatives trading on Derive; staking/governance via DRV/stDRV.

AI component of the project

What is real AI here? In the verified Tier‑1 sources Derive is described as a derivatives protocol/exchange; no verifiable AI component/models/agents were extracted from Tier‑1 for Derive.
What is truly onchain? The DRV token (ERC‑20) on Ethereum; governance and the protocol are described as running on Derive L2 (Tier‑1).
Why is a token needed? staking/governance (stDRV), incentives and buybacks/fee discounts (Tier‑1).
Red flags (based on the information found): AI‑washing (mentions of “DeFAI” in marketing without technical artifacts), derivatives risk (liquidations), L2/bridge risks; what to double‑check: the actual onchain contracts of Derive L2 and the risk engine parameters.

DecAI Fit component summary

DecAI Fit: 0/6 — no AI reality and no AI intent (ai_score=0)

Component	Level	Score
AI reality	low	0
Onchain necessity	high	3
Token necessity	high	2
Evidence	Tier‑1 present	2

Details

AI reality

AI_0 — AI intent (Tier‑1 roadmap) (1/0)

AI_0 (decision): 0
Claim (one line): AI intent/roadmap is not confirmed by Tier‑1 (the extracted sources focus on derivatives/the exchange).
Evidence: Tier‑1 — https://docs.derive.xyz/docs/token
Why sufficient / why not (one line): this is neither an AI roadmap nor an AI component → 0.
Conflict note (if any): —

AI_1 — what the AI does (1/0)

AI_1 (decision): 0
Claim (one line): AI functions/models/agents are not described in Tier‑1 as part of the Derive product.
Evidence: Tier‑1 — https://www.derive.xyz/
Why sufficient / why not (one line): without a Tier‑1 technical description of an AI component we set 0.
Conflict note (if any): —

AI_2 — demos/examples (1/0)

AI_2 (decision): 0
Claim (one line): there is no demo of the AI part, since the AI part is not confirmed by Tier‑1.
Evidence: Tier‑1 — https://www.derive.xyz/
Why sufficient / why not (one line): there are product demos, but they are not about AI → AI_2=0.
Conflict note (if any): —

AI_3 — metrics/quality (1/0)

AI_3 (decision): 0
Metrics: —
Context (version/date/how measured): —
Evidence: Tier‑1 — https://docs.derive.xyz/docs/token
Why sufficient / why not (one line): there are no AI metrics, since the AI component is not confirmed.
Conflict note (if any): —

AI_4 — tech description/architecture/versions (1/0)

AI_4 (decision): 0
Claim (one line): a technical description of an AI component is absent from Tier‑1; the docs describe the derivatives protocol/token/infrastructure.
Evidence: Tier‑1 — https://docs.derive.xyz/
Why sufficient / why not (one line): the Derive architecture ≠ an AI architecture → AI_4=0.
Conflict note (if any): —

Onchain necessity

OC_1 — contracts/addresses/chain (1/0)

OC_1 (decision): 1
Chain: Ethereum (+ Derive L2 as a separate product network)
Addresses/identifiers: DRV (Ethereum): 0xB1D1eae60EEA9525032a6DCb4c1CE336a1dE71BE
Evidence: Tier‑1 — https://docs.derive.xyz/docs/token, https://etherscan.io/token/0xB1D1eae60EEA9525032a6DCb4c1CE336a1dE71BE
Why sufficient / why not (one line): Tier‑1 records the chain and the token; the explorer confirms onchain.
Conflict note (if any): there are additional DRV addresses on Base/Derive Chain (Tier‑1 blog).

OC_2 — onchain beyond just a token (1/0)

OC_2 (decision): 1
What useful logic is onchain: Derive describes Derive Chain (a rollup) and the protocol risk engine/fees/liquidations as part of the onchain infrastructure.
Evidence: Tier‑1 — https://docs.derive.xyz/docs/token
Why sufficient / why not (one line): this is not “just a token” but an onchain derivatives protocol/ecosystem.
Conflict note (if any): the details of the Derive L2 contracts were not extracted here.

OC_3 — onchain is critical (1/0)

OC_3 (decision): 1
“Replace the blockchain” test: without onchain settlement/accounting of positions/liquidations and governance, the trust model of the derivatives protocol breaks down.
Evidence: Tier‑1 — https://docs.derive.xyz/docs/token
Why sufficient / why not (one line): Derive is positioned as onchain execution for derivatives.
Conflict note (if any): —

Token necessity

TK_0 — no token (1/0)

TK_0 (decision): 0
Claim (one line): the project has a token, DRV.
Evidence: Tier‑1 — https://docs.derive.xyz/docs/token
Why sufficient / why not (one line): the ticker/supply/networks are specified in Tier‑1.
Conflict note (if any): —

TK_1..TK_4 (1/0)

TK_1 — payment for the service (1/0)

TK_1 (decision): 0
Claim (one line): in Tier‑1 the token is described as a staking/governance/incentives asset, not as a mandatory payment rail for the core service.
Evidence: Tier‑1 — https://docs.derive.xyz/docs/token
Why sufficient / why not (one line): there is no explicit “payment in the token” for access to the product in the extracted Tier‑1.
Conflict note (if any): —

TK_2 — incentives/collateral/penalties (1/0)

TK_2 (decision): 1
Claim (one line): there are staking rewards (weekly emissions → buyback‑funded), unlock/penalty, and incentives for trading/liquidity.
Evidence: Tier‑1 — https://docs.derive.xyz/docs/token, https://blog.derive.xyz/drv/
Why sufficient / why not (one line): Tier‑1 directly describes the emissions, the incentive pool and the unstaking terms.
Conflict note (if any): —

TK_3 — governance (1/0)

TK_3 (decision): 1
Claim (one line): staking DRV → stDRV grants the right to vote/delegate; governance runs on Derive L2.
Evidence: Tier‑1 — https://docs.derive.xyz/docs/token
Why sufficient / why not (one line): the governance utility is described in Tier‑1.
Conflict note (if any): —

TK_4 — token is replaceable (1/0)

TK_4 (decision): 0
Claim (one line): the replaceability of the token is not established as a strict conclusion per Tier‑1 (it is built into governance/incentives/buybacks).
Evidence: Tier‑1 — https://docs.derive.xyz/docs/token
Why sufficient / why not (one line): without a comparative argument we record 0.
Conflict note (if any): —

Evidence (table)

Tier	Source	What it proves
Tier‑1	https://www.derive.xyz/	Tier‑1: the positioning of Derive as onchain execution for derivatives; entry into the application/sections.
Tier‑1	https://docs.derive.xyz/docs/token	Tier‑1: DRV token overview/utility (stDRV governance, incentives, buybacks), the description of Derive Chain/Protocol/Exchange.
Tier‑1	https://www.derive.xyz/drv	Tier‑1: the DRV pages (staking APY/utility; links to stake/governance).
Tier‑1	https://blog.derive.xyz/drv/	Tier‑1: the DRV launch (2025‑01‑15), token addresses on the networks, buybacks and staking/governance.
Tier‑1	https://help.derive.xyz/en/articles/9709491-audits-vault-smart-contracts	Tier‑1: the Sigma Prime audit of the vault contracts and a link to the repository with the reports.
Tier‑1	https://etherscan.io/token/0xB1D1eae60EEA9525032a6DCb4c1CE336a1dE71BE	Tier‑1: the onchain fact of the DRV ERC‑20 contract on Ethereum.
Tier‑1	—	No Tier‑1 AI component/demo/metrics were found (not confirmed by Tier‑1).
Tier‑2	—	—
Tier‑3	—	—