Pear Protocol (PEAR)

Overview

Pear Protocol is a platform for trading the performance of one asset against another. Its main product, Orchard, lets a trader open a long position on one asset and a short position on another from a single screen. A long position benefits when its asset rises; a short position benefits when its asset falls. Together, they express a view such as “SOL will outperform ETH,” rather than a view about either asset alone. Orchard also supports baskets with several assets on each side. (docs.pear.garden)

PEAR is the protocol’s governance and utility token on Arbitrum. People can use Orchard without holding it. Staking PEAR, however, provides voting weight, trading-fee discounts, and priority access to Pear vaults. The token therefore connects holders to decisions and benefits within the platform, while trades themselves use collateral deposited at the trading venue. (docs.pear.garden)

History & Team

Development and funding

Pear Protocol’s founder is known publicly as Huf. The project developed around pair trading: placing two related positions together and managing them as one strategy. In July 2025, Pear announced a native Hyperliquid integration alongside a $4.1 million strategic funding round led by Castle Island Ventures. Compound VC, Florin Digital, and Sigil Fund also participated. (globenewswire.com)

The product has since grown beyond a two-asset trading screen. Orchard adds baskets, statistical analysis, and routing across supported venues. The broader Pear suite includes an institutional terminal called Pear Pro, an AI assistant named Agent Pear, a Base app, and managed trading vaults. These products share the project’s focus on long-and-short strategies, though they serve different kinds of users. (docs.pear.garden)

PEAR holders have also taken part in changes to the project’s economic model. A governance-approved token allocation accompanied the 2025 strategic round. In January 2026, holders ratified PIP-3, which changed how protocol revenue is used. That decision is central to the token’s present role. (docs.pear.garden)

Technology & How It Works

One position, multiple legs

Orchard builds pair and basket trades using perpetual futures—contracts that track an asset’s value without a fixed end date. A trader selects the long and short assets, assigns their relative sizes, and chooses leverage. Pear then prepares the separate “legs” and sends them to the selected venue in one batched request. The venue fills each leg, while Orchard displays and manages them as a combined position. (docs.pear.garden)

For example, a trader who expects SOL to do better than ETH could go long SOL and short ETH. SOL would not need to rise for that view to work: what matters is how the two positions perform together. Orchard charts the relationship between the sides and shows their combined profit or loss and funding payments. Funding is a periodic payment associated with perpetual futures; one leg can pay it while the other receives it. (docs.pear.garden)

A basket extends the same idea to several assets. A trader might place one group of tokens on the long side and another on the short side, with separate weights for each member. Orchard supports up to 15 legs in a basket. Its tools include ratio-based take-profit and stop-loss settings, gradual order entry, and automatic rebalancing to help maintain chosen position weights. (docs.pear.garden)

Pear acts as the trade-management and routing layer. In Orchard’s regular trading flow, collateral remains at the connected venue, such as Hyperliquid or Lighter. The web app routes to those two venues; Pear Pro also connects to Binance, Bybit, and OKX. Pear’s Base app uses a separate SYMM-based engine. (docs.pear.garden)

Tokenomics & Utility

Supply and staking

PEAR is an ERC-20 token on Arbitrum with an original maximum supply of one billion tokens. Pear reports that 147,780,472 PEAR were permanently burned through its documented burn program, leaving an adjusted total supply of 852,219,528 PEAR. These are supply figures, rather than figures for tokens available to trade. The July 2025 strategic round allocated tokens to investors under a 12-month linear vesting schedule beginning September 28, 2025. (docs.pear.garden)

Staking PEAR issues stPEAR at a one-to-one ratio. This non-transferable token marks the holder’s stake and determines their fee-discount tier and voting weight. A staked balance can provide up to a 50% discount on Pear trading fees and priority entry into vaults. Unstaking returns PEAR minus any applicable early-exit fee; the fee falls with time and reaches zero after 31 days. (docs.pear.garden)

Under PIP-3, 70% of protocol revenue is directed toward weekly PEAR buybacks, permanent burns, and liquidity provision. The other 30% goes to the DAO treasury. Governance voting takes place off-chain through Snapshot: stPEAR balances determine voting weight, and the team carries out approved decisions. Staking benefits center on access, discounts, and governance rather than the earlier ETH revenue distributions. (docs.pear.garden)

Ecosystem & Use Cases

From pair ideas to managed strategies

Pear’s clearest use case is expressing a relative-performance view. A trader can compare two tokens, or build a basket around broader groups. The interface brings the two sides together so users can chart their ratio, set weights, and manage the resulting position without treating every leg as a separate strategy. (docs.pear.garden)

Orchard also displays measures used in statistical pair trading. Correlation describes how closely assets have moved together. Cointegration looks for a longer-lasting relationship between prices, while a z-score shows how far a spread has moved from its usual level. These figures help users study a pair’s history. Pear’s signals system applies statistical screens to identify pairs whose spread has moved away from a historical pattern. (docs.pear.garden)

Agent Pear offers another way to explore the platform. Users can describe an idea in ordinary language and receive research and a proposed pair or basket. In its standard execution setting, the assistant presents a trade ticket for approval before placing an order. Developers can also build on Pear’s trading gateway through its API and related agent tools. (docs.pear.garden)

Pear Vaults add managed strategies to the ecosystem. Their contracts run on HyperEVM, while trading capital is deployed to Hyperliquid for the vault’s strategy. PEAR staking can give holders priority entry, linking token utility to this part of the suite. (docs.pear.garden)

Advantages & Challenges

Pear’s main advantage is that it brings several steps of pair trading into one workflow. Users can build both sides, study their relationship, enter them together, and view one combined position. Baskets, rebalancing, and Agent Pear expand that workflow for more detailed strategies. PEAR adds benefits for participants who want a fee discount or a voice in governance. (docs.pear.garden)

The approach also has practical limits. A pair’s outcome depends on relative performance, so choosing the long and short sides remains important even when they are entered together. Funding payments, differences in how easily each leg fills, and changes in the relationship between assets can affect a position. Multiple venues make the platform more flexible, but their fees and available markets can differ. For token holders, Snapshot votes signal a decision that the team then implements, rather than automatically changing the protocol through an on-chain governor contract. (docs.pear.garden)

Where to Buy & Wallets

PEAR is available on Camelot and Uniswap V3 on Arbitrum. The project lists its Arbitrum token contract as 0x3212dc0F8c834e4DE893532d27CC9B6001684DB0. Matching that address and network identifies the token used for Pear staking and governance. (docs.pear.garden)

PEAR can be held in an Arbitrum-compatible wallet such as MetaMask. The wallet supports displaying Arbitrum tokens, including ERC-20 tokens added by contract address. Staking takes place through Pear’s application and converts PEAR in the connected wallet into non-transferable stPEAR. Network transactions on Arbitrum require gas fees paid in ETH. (support.metamask.io)

Regulatory & Compliance

Pear Foundation is incorporated in the Cayman Islands. Pear’s terms restrict access to its services for U.S. persons and people in listed restricted territories. They also bar UK retail investors from using its perpetual-contract services. Pear’s vault documentation names further regional limits for vault participation, including Canada and the European Economic Area. In the UK, the Financial Conduct Authority’s rules prohibit firms acting in or from the country from selling certain cryptoasset derivatives to retail consumers. (pear.garden)

Pear Protocol’s core leveraged long-and-short perpetual trading does not align with conventional Shariah-compliant finance principles. The International Islamic Fiqh Academy has found most futures structures impermissible and says hedging methods should avoid prohibited uncertainty and interest-based arrangements. On that basis, Pear Protocol is generally not considered halal for use as a trading platform. This assessment concerns how its trading products work; PEAR’s role as a governance and access token is a separate feature of the ecosystem. (docs.pear.garden)

Future Outlook

Pear’s direction is visible in the products it has built: a multi-venue trading interface, AI-assisted research, developer access, and managed vaults. Together, they give traders several ways to create or follow long-and-short strategies. The role of PEAR is tied to participation in that suite through fee discounts, vault priority, governance, and the revenue-use model adopted under PIP-3. (docs.pear.garden)

Future governance decisions may change how those pieces fit together. Snapshot gives stPEAR holders a way to express their preferences on proposals, while the team implements the chosen direction. This makes the token’s long-term function closely connected to both platform development and continued holder participation. (docs.pear.garden)

Summary

Pear Protocol focuses on pair and basket trading through a unified interface for long-and-short perpetual positions. PEAR supports the surrounding ecosystem as an Arbitrum-based token for staking benefits and governance. Its distinguishing feature is the link between a specialized trading platform and a token whose utility grows from access, fee discounts, and participation in protocol decisions. (docs.pear.garden)