Ticker:
sAERO-PERP | Status: Testnet | Type: Synthetic (s-basket)Why This Basket Matters
Aerospace manufacturing requires materials that perform under extreme conditions—high temperatures, mechanical stress, and weight constraints that no other industry demands. From titanium airframes to nickel superalloys in turbine blades, these commodities define what’s possible in aviation and space. Material availability directly constrains aircraft production rates. sAERO provides exposure to the supply chain bottlenecks that determine how many aircraft can be built—independent of any manufacturer’s backlog or delivery schedule.Composition
| Commodity | Symbol | Weight | Role in Aerospace |
|---|---|---|---|
| Titanium | Ti | 28% | Airframes, engine components (strength-to-weight) |
| Nickel | Ni | 24% | Superalloys for turbine blades, combustors |
| Aluminum | Al | 20% | Fuselage, wings, structural components |
| Copper | Cu | 15% | Electrical systems, wiring, avionics |
| Cobalt | Co | 13% | Superalloys, batteries, cutting tools |
How It’s Priced
The sAERO index value is calculated as a weighted sum of component prices: Price sources:- Oracle Provider (TBD) supplies institutional-grade commodity reference prices
- Prices normalized to USD
- Update cadence: (TBD — confirm)
- 8 decimal precision
- Chainlink-style interface
- Published by Scape keeper/relayer
Where It’s Available
sAERO is available as a HIP-3 perpetual contract on Hyperliquid testnet.| Parameter | Value |
|---|---|
| Venue | Hyperliquid (testnet) |
| Contract Type | Perpetual |
| Margin Mode | Isolated |
| Fee Structure | 2× validator perps (HIP-3) |
| Deployer Fee Share | 50% |
Sector Context
Why These Commodities?
Titanium (28%): The aerospace metal. Unmatched strength-to-weight ratio, corrosion resistance, and high-temperature performance. Used extensively in airframes, landing gear, and engine components. Supply chain is strategically important. Nickel (24%): Essential for superalloys that operate in the hottest parts of jet engines. Turbine blades, combustion chambers, and exhaust systems require nickel alloys that maintain strength at extreme temperatures. Aluminum (20%): The traditional aerospace structural material. Lightweight, workable, and well-understood. Still dominant in fuselages and wings despite composite growth. Copper (15%): Aircraft contain miles of copper wiring. Avionics, electrical systems, and increasingly electric propulsion systems all depend on copper’s conductivity. Cobalt (13%): Key ingredient in superalloys alongside nickel. Also critical for cutting tools used in aerospace manufacturing and emerging battery applications in aviation.Supply Chain Dynamics
- Qualified supplier requirements: Aerospace-grade materials require extensive certification
- Long lead times: Switching suppliers takes years of qualification
- Production rate constraints: Material availability limits aircraft production
- Aerospace cycle correlation: Commercial aviation demand drives material consumption
Roadmap: sAERO → xAERO
- sAERO (Now)
- xAERO (Q2 2026)
Synthetic price exposure
- Price-referenced via Oracle Provider (TBD)
- No physical inventory
- Available as HIP-3 perpetual
- Available on testnet
Risk Factors
Index-specific risks:- Aerospace cycle exposure: Commercial aviation is cyclical; downturns affect demand
- Geopolitical risk: Titanium supply has significant geographic concentration
- Production rate changes: Aircraft manufacturer production decisions affect demand
- Substitution risk: Composites continue to displace metals in some applications
- Liquidation risk
- Oracle risk
- Smart contract risk
- Testnet risk