I am starting this thread with the objective of having a single communication point to discuss an “Innovation” portfolio for metaCOLLECTIVE. Within the innovation portfolio we could allocate smaller tickets to multiple projects either 1) with higher risk or 2) newer to the market. Because these projects have a higher number of unknown unknowns we should limit the allocation size to 10’000 USDC per project/idea
To start I would like to propose the followings:
- Deposit 10’000 USDC in Cega (exotic options protocol, exact instrument TBD)
- Purchase options from Friday’s DOV from Friktion or PsyOptions (exact details TBD)
Really like the idea of the innovation Zone. I will try to connect with Cega team and see if we can do something in partnership together
I’m all good with this idea, however do we have some idea of the overall allocation? how many 10k investments are we going to make? Are these positions just to test and see how these projects might work, or are they really with the idea of generating some returns? what are your thoughts?
on the CEGA one, it’s a testing strategy to see also how much is the realised APY vs quoted APY. If we see good returns I think it’s a very good way to hold some of our cash as meaningful returns.
I would also add a 3. point, we are in talks with Convergence RFQ (the first on chain RFQ for option on Solana) which is releasing soon the mainnet. This would give us a way to buy longer dated options which i think it’s a good way to take some market view and try to hedge on the downside or leverage up returns on the upside .
I spoke with the Cega team and they are down for some cross promotion when we deploy into their strategies.
My suggestion is to start with 10,000 USDC and to deploy them into this strategy:
We also need to buy one NFT - current floor is 1.22 SOL so very very affordable
the idea is to see how it works and deploy even more in the future, as yields seems to be attractive compared to the risk reward
for example this strategy is yielding 90% APY as long as every asset (BTC ETH SOL) doesn’t drop more than 50% from current levels
I will kick-off the vote as the new vault is starting on September 1st!
Another project that I was checking out is kamino.finance - Solana’s first actively managed liquidity layer, built on Orca concentrated liquidity DEXs.
It could be interesting to deploy some SOL to get advantage of the pretty high liquidity mining (see image below)
For what regards the strategy, I am diving deeper on what is the best ticks on which it make sense to provide liquidity. For example, this automatic strategy is not particularly strong if you exclude LM (only 2.69% APY coming from fees), and this because the range is pretty large for a stable.
Probably it has to be even more concentrate than that, but we have to see how much the price is fluctuation around that range
Anyway, I suggest deploying $20k Solana on it. As a side note, this project is developed and maintained by the Hubble protocol team
looks interesting, only thing that is not clear to me is if the fees (.10% withdraw + 9.50% performance) are included in the APY shown in the UI or not
Hawksight is reaching out to us about our innovation zone and is looking for collaboration opportunities. They have a yield aggregator similar to that of Everlend and are onboarding more DAOs into their platform. Going back to some of the replies in this thread, we could explore a cross-promotion deal with them to increase the traffic into meta collective DAO. We could run a deposit campaign that will reward c/v Meta holders and depositors. They have an ongoing audit with Certik.
On another note, Everlend will also be launching a few weeks from now with their newest version of their yield aggregator platform. They just secured a $2.6M funding from a few known investors in the space. They have a 3-tier loss protection system: liquidations, safety fund, and Everlend DAO.
Regarding this statement, “They have a yield aggregator similar to that of Everlend”, from what i can see on their website, the strategy is allocation only to one pool/protocol and it doesn’t look like Everland where they automatically route the amount across different protocol and pools.
Is my understanding correct?
Yes, you are correct. There are 2 models: (1) Single Index vault and (2) Routing to the best strategy
(1) is being used by both mercurial and everlend, where users deposit in a vault, and the project will get yield from an index of different projects like solend and port. This allows the user to have a portfolio of different sources of yield.
On the other hand, (2) is being used by Hakwsight and will present you with several options and you can personalize which source of yield you would like to go for. This approach ensures non-custodial implementation and personalization of users’ deposits. (Hawksight’s safety scoring and risks system: Safety Scoring & Risks - Whitepaper)