# Preparing for V2 Launch and V1 Downgrade It's been 10 months since we launched Primitive V1 at the end of December in 2020. The first markets that came online in Febraury quickly brought in over $1m in TVL within the first week. This was thanks to our stakeholders, early supporters, and early users. ![](https://i.imgur.com/4qTC5Ws.png) After a month of the live protocol, it became apparent that the V1 system, while novel, was not going to be the leap forward in the DeFi options space that we wanted to see. Understanding these faults, the V1 Protocol was left behind, without resources. In these early days of DeFi, there is no room to allocate resources in an unfocused way, especially with this infinitum of opportunity at our fingertips. ### Onward to V2 The Primitive team has expanded to five full time members, and an additional five part time contributors. Over the past six months, we've developed a new DeFi lego that we are excited to introduce to the space. These development efforts are wrapping up as we put the finishing touches on V2. While we have mentioned it as V2, its fundamentally a new Protocol, the Primitive Protocol, and we are excited to be sharing more about it in October. With that said, the most popular V1 markets expire today! Keep in mind, Primitive V1 will live on as a permissionless system, which anyone can build on. # What do I need to know about V1 markets as a user? Use the app here to close positions: https://app.primitive.finance ## Liquidity Providers (SLP/PRM/RDM/Underlying Holders) All the LPs will have some balance of two of the option tokens: PRM and RDM. When options expire, the PRM loses its claim to be exercised. Therefore, the RDM token is the claim to the underlying tokens. ### How to exit an LP position LPs can visit the interface and remove their liquidity as they normally would by selecting an open position. Removing liquidity through the Primitive interface will also close the option position, and return the underlying tokens (or ETH). Before the transaction, the LP tokens must be approved, which is why we request your permit signiture. ## Option Buyers (PRM/Long Holders) If you hold PRM tokens, the long options, these expired worthless. ## Option Sellers (RDM/Short Holders) If you only have RDM tokens, these can burned in exchange for their underlying tokens. For every `strike price` amount of RDM tokens, there will be `1` underlying token claimable. ### How to close a short position To close your RDM tokens, visit the interface and select a position to close. This will walk you through the following flow: 1. Approve RDM tokens to be burned 2. Close position by burning RDM tokens, and receive underlying tokens ## Rewards We recently tweeted an art piece by Eren Arik. This will be the art on an NFT we will be distributing to all of our V1 users. ![](https://i.imgur.com/zj3LyQc.png) ### Distribution We've taken a snapshot of our V1 users and will be making these claimable by them before the V2 launch. Look out for our post that details what perks come with the NFT. ### Perks One of the perks of the NFT is earlier access to the products we are working on. ### Art by Eren Arik Make sure to follow the artist on twitter: <blockquote class="twitter-tweet"><p lang="und" dir="ltr">by <a href="https://twitter.com/erenomoto?ref_src=twsrc%5Etfw">@erenomoto</a> <br><br>∇ <a href="https://t.co/jE86PRuqfW">pic.twitter.com/jE86PRuqfW</a></p>&mdash; Primitive (@PrimitiveFi) <a href="https://twitter.com/PrimitiveFi/status/1433200294452621314?ref_src=twsrc%5Etfw">September 1, 2021</a></blockquote> <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> ## AMA in the Primitive Discord We have an open channel that can be used by anyone to ask the Primitive team questions, or for help, join here (make sure to get past the bot guard): https://discord.gg/C6X4zCM4se ## Resources ### Addresses of Related markets #### LP Pairs: Weth Call SLP: `0x2ACBF90fDff006Eb6EaE2b61145B603e59ade7d2` Weth Put SLP: `0xfE7f6780A3C19aef662edD7076F63C2Ae99A2196` Sushi Call SLP: `0xBFf6CbF2e7d2cd0705329c735a37bE33241298e9` Sushi Put SLP: `0x45e185Be5d2FE76b71fE4283EaAD9679E674c77f` #### Primitive Smart Contracts: Weth Call PRM: `0x5b419b581081F8E38A3c450AE518E0aefD4a32B4` Sushi Call PRM: `0x875F1F8E7426B91c388807D5257f73700D04d653` Core Proxy Trader: `0xc1de48E9577A7CF18594323A73CDcF1EE19962E8` Primitive Router: `0x9264416B621054e16fAB8d6423b5a1e354D19fEc` ### Use the App The open-source and free interface to interact with the Primitive protocol is here: https://app.primitive.finance/ ### Follow our Twitter and Medium for Updates! https://twitter.com/PrimitiveFi https://primitivefinance.medium.com/ ## Risks We have not proven the protocol is secure. That will take time. We have put our efforts into securing the protocol’s contracts through extensive testing and third party review. With that said, keep in mind it is high-risk to use the protocol and that a material loss of funds can occur at any time.