Fragments is a protocol that offers leveraged cryptocurrency products.

Learn more about how leverage works at fragments.org/how.

Liquidation is when a leveraged position is forcibly closed due to insufficient margin. Bitcoin Junior eliminates this risk.

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What is Fragments?

Fragments is a protocol that offers leverage designed for buy-and-hold investors. It works by splitting the volatility of an asset into two parts: a higher-volatility junior asset and a stable-yield senior asset.

This creates leveraged exposure that can be held for long periods of time, is simple to manage, cost-efficient, and free from margin debt or liquidation risk. Everything is accessible through a clean, easy-to-use platform.

What is Bitcoin Junior?

Bitcoin Junior (BTC-Jr) is a perpetual, ~1.33× leveraged version of Bitcoin, and is the first product in the Fragments protocol. It offers higher volatility and higher upside potential compared to raw BTC, without margin debt or liquidation risk.

How can I learn more about Fragments?

Dive into the details on our website, read up on the technical documentation, or follow @FragmentsOrg on X for real-time updates.

Join the waitlist to ensure you get early access and updates straight to your email.

What do I get by joining the Fragments waitlist?

You get first-in-line access to BTC-Jr. The protocol is launching in cohorts, meaning that the earlier you join the waitlist, the sooner you will receive your personal invite to Fragments.

You’ll also be the first to hear about new features, partner integrations, and everything else as it goes live.

What is leverage?

Leverage gives you amplified exposure to price moves (more upside and downside per dollar invested) traditionally in exchange for higher risk, including the ever-present threat of liquidation if things go against you.

With BTC-Jr, the elevated volatility is built directly into the token through tranching and balancing, not borrowing. There is no debt, no margin calls, and zero chance of getting forcibly liquidated. Learn more about how it works.

What is liquidation?

Liquidation is the worst-case scenario in traditional leveraged products. It occurs when your position gets automatically closed (usually at the worst possible time, like a market bottom) because you can’t meet margin requirements on borrowed funds. Once liquidated, your position is gone forever and there is no recovery, even if the market rebounds minutes later.

BTC-Jr eliminates this entirely. There’s no borrowing, no margin, and no liquidation engine. Your exposure is backed by on-chain collateral mechanics, so you can hold, swap, or redeem without ever worrying about forced sales or cascade auctions.

What leveraged products are out there?

Perpetual futures: Exchange-traded derivative contracts that mimic BTC price with adjustable leverage, but come with funding fees, margin requirements, and liquidation risk.
Margin borrowing: Borrowing capital from a broker or lender to buy more BTC than your balance allows, but exposes you to interest costs and margin-call liquidations.
Options: Contracts that give the right to buy or sell BTC at set prices before a set date, but add complexity through strikes, expiries, and volatility decay.
Leveraged ETFs/ETPs: Exchange-traded products engineered for 2× daily BTC exposure, but suffer from path-dependent performance decay due to constant rebalancing.

What makes Bitcoin Junior different?

BTC-Jr is built to behave differently from traditional leveraged products. It offers:

Simple to manage. Fragments is an easy-to-use platform to mint BTC-Jr. Users can swap back to cbBTC anytime. The leverage created by Fragments has no expiry or maturity, and can be held for long periods of time compared to other leveraged products.‍
No liquidation. BTC-Jr’s 1.33× leverage is supported by tranching and balancing mechanics, and does not involve any borrowing or synthetic funding. It cannot be liquidated, regardless of market conditions.‍
Cost-efficient. Fragments’ bidirectional interest rate modulates the cost of leverage against demand for stable yield. In efficient markets, the cost of holding leverage approximates one-third of the risk-free yield.‍
Transparent. Fragments is completely on-chain and smart-contract based.There is no hidden balance-sheet risk and no opaque intermediaries.

Leveraged Bitcoin for Buy-and-Hold Investors

Bitcoin Junior

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