1/ 🧵Thread on $ALPACA
If you think that BSC $BNB is just a place for rugs, you would be missing out a lot of alphas. A blanket filter will leave you out of a lot of alphas.
There are innovations happening here with valuation that even TradFi guys would ape into.
2/ With yield drying out in the crypto lands, investors are going down the risk curve for yields, @AlpacaFinance - a leveraged yield farming protocol on #BSC and #Fantom is here for that demand.
3/ Users can leverage up to 8x of their capital for yield farming.
.
But wait there's more!
4/ The protocol will manage exposure for you and staying delta neutral.
The team is even kind enough to backtest the strategy. With Sharpe Ratio of 5.6, this is literally free alpha for the masses.
5/ Enough about the protocol, what about the $ALPACA token?
• Close to full emission, inflation rate <10%
• Multiple revenue stream, annual revenue >30% Mcap (P/E 3.38)
• Annual buyback ~20% current Mcap
• Token buyback & burn >10% annually, nett deflationary
• MCap/TVL 0.1
6/ Let's address it point by point:
Here's a token emission chart for $ALPACA
We are 169M issued out of total of 188M
Accounting for the weekly token burn, the protocol is net deflationary.
7/ Multiple revenue stream:
Alpaca has multiple product lines, charging fees on AUM / Performance
• Lending
• Leveraged Yield Farming
• Delta Neutral Automated Vaults
• Position liquidation fee
• Interest-bearing stablecoins
• NFT Royalties
8/ These revenue streams are splitted into Operation Funds, Governance ($xALPACA staking reward) & Token Burn:
Using past quarter data: $16M buyback annually for $80M FDV protocol. (20% buyback)
#FDVisMeme
9/ The roadmap for $ALPACA is exciting too, after the recent launch of #Fantom chain and delta-neutral vaults. The team is expected to launch more pools on both chains, Web3 game with its NFT, and institutional services
11/ Comparing the valuation to other leveraged yield farming and yield farm aggregator, $ALPACA takes the lead on multiple valuation metrics, especially on the revenue side of the protocol.
(Did we mention that it's not a useless governance token? #Buyback & #Burn! )
11/ With the potential of multi-chain expansion, institutional service & revenue streams from new product, we expect $ALPACA to fly sooner or later.
Hope you enjoy the alpha leak and have a happy Easter!
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