Celestial is a platform for deploying, buying, selling, and trading futures contracts. It is the only DAO-settled futures platform out there.
Celestial is a futures platform. It consists of a DAO that is able to call a function that will deploy a new instance of a template for a typical futures contract. It will also deploy an order book where that new futures token can be bought and sold. It relies on the description when proposed on the DAO to know what the futures contract's derivative is. If the DAO agrees to govern the contract, then once it is known when the contract should be settled to and to what price, the DAO can call a function to set the settlement date and settlement price. Once the settlement date is reached, the price will settle to the settlement price. Each smart contract created from the factory is upgradeable. This way if any changes need to be made, then the DAO will be able to make those changes as they have admin control over the order book and futures contract. The DAO is economically incentivized to settle and manage the contracts they agreed to deploy, as if they didn't, the price of the governance token would likely go down. Celestial allows for the creation of futures contracts on things that were impossible before.
How it's made
Celestial will utilize many openzeppelin contracts to implement upgradeability in the contracts that the factory deploys. The governance system will be directly derived from that of Compound Finance. Each futures contract to be deployed implements the ERC20 interface. Then, you may interact with your own vault where you will be able to mint new ERC20 tokens that represent the futures contract. Then, you may take various positions by buying or selling on the order book. When the new contract is deployed, it is up to the proposer as to which stable coin will be used as collateral and for the counterparty in the order book. The ratio of collateral to maximum withdraw is five to four. The order book is pretty typical. It allows for limit and market orders and the deletion of the limit orders. The price for the rate of borrowing in the futures contract is derived from the price at which the token is being traded at on the order book. The first futures contract will be manually deployed with the derivative being acres of moon land to show the utility of this protocol. It will implement liquidity mining in order to properly distribute governance tokens, but the mechanism for governance token distribution is subject to change due to circumstances at the time of deployment on the mainnet. The network on which the project is deployed is most likely going to be Polygon.