1- is NOT a hype machine.
Products by @AlphaFinanceLab are designed specifically to maximize yields for #DeFi users. We've spent hours everyday discussing _unaddressed demands_ on the market and how we can serve them.
We ride on the hype cycles, not trying to become one.
Products by @AlphaFinanceLab are designed specifically to maximize yields for #DeFi users. We've spent hours everyday discussing _unaddressed demands_ on the market and how we can serve them.
We ride on the hype cycles, not trying to become one.
2- Let's first define the "unaddressed demands" part to begin with.
In this context, it refers to someone in #crypto having an urgent need to access an asset or a service that allows them to generate more yield -- a demand large enough _they're willing to pay_ for it.
In this context, it refers to someone in #crypto having an urgent need to access an asset or a service that allows them to generate more yield -- a demand large enough _they're willing to pay_ for it.
3- It's essential that someone's generating value in the ecosystem, so some other party can capture the yield from it.
✅ Stablecoins <-- the issuers pay for stability fees
✅ Lending protocols <-- the borrower paying interests
✅ AMMs <-- the trader pays for transaction fees
✅ Stablecoins <-- the issuers pay for stability fees
✅ Lending protocols <-- the borrower paying interests
✅ AMMs <-- the trader pays for transaction fees
4- An important observation we have at @AlphaFinanceLab is that in each vertical, there is a group of power users who will always _pay more_ to get more yield out of their investments.
They're so called "degen" in the context of yield farming. 🌾🌾🌾
They're so called "degen" in the context of yield farming. 🌾🌾🌾
5- 🧙♀️homora.alphafinance.io was the first product we built to serve such power users.
Despite yield-farming craze itself slowly fading away, Homora is the living proof that there's a significant demand in leveraging one's position when it comes to using #DeFi products.
Despite yield-farming craze itself slowly fading away, Homora is the living proof that there's a significant demand in leveraging one's position when it comes to using #DeFi products.
6- But why do I think Homora is a big deal though? $10-ish million in TVL is nothing these days.
✳️ It's quite rare in #DeFi to see an APY on that's anywhere near 10% without taking an IL risk.
Does this mean we've found a new product-market-fit? That remains to be seen.🤞
✳️ It's quite rare in #DeFi to see an APY on that's anywhere near 10% without taking an IL risk.
Does this mean we've found a new product-market-fit? That remains to be seen.🤞
7- Homora itself can be extended to a more generic yield-generating machine.
For example: it could offer yields on other pools and use those assets for leveraged yield-farming, not only .
Such "pools" can be generalized to aggregate yields from other Alpha products.
For example: it could offer yields on other pools and use those assets for leveraged yield-farming, not only .
Such "pools" can be generalized to aggregate yields from other Alpha products.
8- Besides Homora, @AlphaFinanceLab has multiple products under development, which will amplify yields by utilizing the network effects of other DeFi products.
The key ingredient is to bridge them in the right way.
The key ingredient is to bridge them in the right way.
9- A "holy grail" of yield-generating machine has a few properties:
✅ No systematic "risk" for yield farmers
✅ Producing consistently high yield regardless of market condition
✅ Requiring no maintenance by the farmers
That's ultimate product everyone's -ing for 👀.
✅ No systematic "risk" for yield farmers
✅ Producing consistently high yield regardless of market condition
✅ Requiring no maintenance by the farmers
That's ultimate product everyone's -ing for 👀.
10- That's enough for me rambling about my thoughts and what is working on. More to come at a later date.
We'll publish big changes to 🧙♀️homora.alphafinance.io very soon. Keep an eye out for a blog post at @AlphaFinanceLab.
Back to the coding.
We'll publish big changes to 🧙♀️homora.alphafinance.io very soon. Keep an eye out for a blog post at @AlphaFinanceLab.
Back to the coding.
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