Strategies

Compound Fighter

Risk Level: Basic Type: Yield Farming Underlying Protocol: Compound

What is Compound?

Compound is one of the leading platforms for lending and borrowing. It allows users to lend their tokens for lending profit or borrow tokens by collateralizing their unused tokens.

What is Compound Fighter strategy and how does it work?

Compound-Fighter is a strategy that builds on top of Compound. It helps users to lend their idle tokens to Compound and earn profits. Compound also distributes proportional COMP tokens for lending into its platform that adds to the user’s profit.

What is COMP Token?

COMP token is the native token of Compound. Compound distributes COMP tokens to the lenders and borrowers to reward them for trading on its platform.

Does this strategy pay the COMP rewards?

Yes, our product helps to claim COMP tokens for you. You can expect your profit, when withdrawn, to consist of lending rewards and additional rewards from selling the COMP token.

How can I invest?

At the moment, you can invest using DAI, USDT, and USDC.

Yearn Fighter

Risk Level: Advance Type: Yield Farming Underlying Protocol: Yearn Finance

What is Yearn Finance?

Yearn Finance is one of the leading yield aggregators in the DeFi space. Yearn Finance is founded by Andre Cronje, a notable software developer in blockchain technology.

What is the Yearn-Fighter strategy and how does it work?

Yearn-Fighter is a strategy that builds on top of Yearn. We mainly use the Yearn Earn and Yearn Vault products.

What is Yearn Earn?

Yearn Earn is a product that finds the best lending product among Compound, Aave, and DyDx and switches for the highest yield among them over time. It is a low-yield low-risk product.

What is Yearn Vault?

Yearn Vault is a product that leverages users' tokens by using different strategies and getting the highest yield by interacting with a few other products. It is a medium yield medium risk product.

How do I choose between Yearn Earn and Yearn Vault?

It is completely your decision. For example, if you choose to invest 25% to safe income and 75% to exposure then it is suggested to put 25% of the total amount in Yearn Earn and 75% of the total amount in Yearn Vault.

How can I invest?

At the moment, you can invest using DAI, USDT, TUSD, and USDC stable coins.

Harvest Fighter

Risk Level: Advance Type: Yield Farming Underlying Protocol: Harvest Finance

Harvest-Fighter is a yield aggregator platform that builds on top of Harvest Finance products. It helps users to deposit their tokens into Harvest Finance strategies and stake the fAsset(LP Token) that are distributed by Harvest Finance to earn FARM tokens. Meanwhile, Harvest-Fighter gets higher APY by reinvesting earned profit as well as FARM tokens to get more profit and FARM in Harvest Finance strategies (auto-compounding).

What is Harvest Finance?

Harvest Finance is a yield aggregator similar to Yearn Finance, but with different yield farming strategies. Harvest Finance constantly changes its yield strategies to get the highest yield APY. Since we build on top of them, we get their high APY + our auto-compounding strategy + our DVG mining program to give you the best APY.

What is the APY for Harvest-Fighter?

Since we build on top of Harvest Finance, Harvest-Fighter APY will depend on Harvest Finance strategies. But since Harvest-Fighter helps to compound profit from Harvest Finance, you can expect our APY to be on top of their APY. Their APY is around 10%-30%.

What are the stablecoins accepted by Harvest-Fighter?

USDT, USDC, and DAI

What are the fees for Harvest-Fighter?

There is a network fee of 1% for deposit under 50k stablecoins but no withdrawal fees (see here for more details).

DAO Citadel Vault

Risk Level: Expert Type: Flagship Underlying Protocol: Multiple

What is Traditional Market Weighted Index Strategy?

A regular market-weighted approach is a basis for many ETF or index funds. Cash is allocated based on the market capitalizations of index components. For example, the larger a company’s equity market cap, the bigger its representation in a stock market index.

How does the Investing Methodology work?

In this case, BTC, with a dominance of slightly under 50%, would comprise almost half our index value. The remaining assets would be distributed among ETH, stable coins, and other alts, loosely based around their market caps, with some liberties taken to overweight some components.

This portfolio is established with the following weights:

  • Bitcoin - 45%

  • Ethereum - 35%

  • Ethereum-based Alts - 15%

  • Stablecoins - 5%

The Twist: What are we doing differently?

Instead of taking only a long position on these cryptocurrencies, our strategy pairs up positions to enjoy compounded yield farming rewards. For example, instead of holding outright positions in spot BTC and ETH, what we do instead is to provide WBTC and ETH liquidity, as a pair, to a platform like SushiSwap.

This has the benefit of generating different income streams:

  1. Price appreciation on the crypto assets held

  2. Trading fees as a DEX liquidity provider

  3. Yield farming incentives (SUSHI, CRV, PICKLE)

How are we allocating our portfolio?

This vault strategy pairs up our positions as follows:

30% as ERC20 BTC Exposure: Bitcoin (15% WBTC, 15% HBTC) Platform: Curve Liquidity Pair: WBTC-HBTC Incentive: CRV

30% as WBTC-ETH Exposure: Bitcoin and Ethereum (15% WBTC, 15% ETH) Platform: SushiSwap LP staked on Pickle Liquidity: WBTC-ETH Incentive: PICKLE & SUSHI

30% as DPI-ETH Exposure: Ethereum-based DeFi alts in the form of the DeFi Pulse Index, and Ethereum (15% DPI, 15% ETH) Platform: SushiSwap Liquidity: DPI-ETH Incentive: SUSHI

10% as DAI-ETH Exposure: DAI and Ethereum (5% DAI, 5% ETH) Platform: SushiSwap LP staked on Pickle Liquidity: DAI-ETH Incentive: PICKLE & SUSHI

How do we grow our portfolio?

Incentives earned from yield farming these pairs would be sold at least once a day and used to buy back more LPs so that investors grow their portfolio value over time. This automatic compounding is done by our smart contracts.

Do you rebalance the portfolio?

The portfolio will be rebalanced at least twice daily to reset the strategy back to its standard allocations and weights laid out above so that you will always maintain an ideal allocation!

What are the risks associated?

Providing liquidity to DEX pools comes with the risk of impermanent loss, where your holdings in an outperforming asset within a pair decrease if there is a pronounced divergence over time between the values of both components. This strategy comes with a significant risk of impermanent loss! Also, as it is still an early-stage innovation, DeFi smart contract vulnerabilities may lead to investors losing all their capital.

What would be the estimated APY from the ETF strategy?

APY is extremely volatile as it is dependent on a lot of variables especially the performance of the underlying assets, however investing in this strategy will definitely give you a better APY than just holding spot positions. The APY shown in the graph is largely driven by the performance of the underlying assets.

The yield farming is expected to provide an additional ~10%-15% APY compared to holding spot positions.

What are the fees for DAO Citadel Vault?

Besides the standard 0.5%-1% deposit fees and 20% profit sharing fees (see here for more details), there is 10% fee on the yield farmed which is used pay the gas fees associated with harvesting rewards and depositing LPs.

DAO Stonks

Risk Level: Advance Type: Flagship Underlying Protocol: Mirror Protocol

DeFi makes it possible for people all over the world to invest in stocks, without troublesome account opening, KYC, and verification procedures. Tokenized stocks now trade on many platforms, so that users can gain equity exposure in their crypto portfolios!

DAOventures brings this opportunity to our investors, with a huge boost to performance in the form of yield farming bonuses! As an added benefit, this strategy only has half the volatility of the stock market!

Stonks is a deliberate misspelling of the word stocks, to talk about investing in financial markets (though in an ironic way). It’s what the internet thinks of corporate America and Wall Street’s business affairs, but has come to generally represent profitable activities.

What is FAANG?

Tech stocks have been doing extremely well the past few years. Think of the apps you use most frequently. Wall Street analysts created an acronym for a 5-stock portfolio of the best performing tech names — FAANG, or Facebook, Apple, Amazon, Netflix, & Google. Known for their disruptive business models and addictive nature, these high growth companies are all household names.

What is the investing methodology?

This strategy gives users exposure to the FAANG basket of stocks. Except on steroids, and only half the volatility.

How do you rate the chances of Amazon stock doubling within the next year? Google going 100%? Possible scenarios, but the probability is not very high.

Mirror Protocol allows users to trade synthetic stocks, or mirrored assets, represented by cryptocurrencies. For example, mAAPL is a cryptocurrency whose price is pegged to Apple shares. It is not a stock, you don’t receive dividends nor can you vote on company decisions, but you can trade it freely to capture price movements.

How are we allocating our portfolio?

Mirror gives us an incredible yield farming opportunity, to become liquidity providers of mirrored equities paired with stablecoins. These pairs include:

  • mFB-UST (representing Facebook/USD)

  • mAMZN-UST (representing Amazon/USD)

  • mAAPL-UST (representing Apple/USD)

  • mNFLX-UST (representing Netflix/USD)

  • mGOOGL-UST (representing Google/USD)

On many of these pairs, liquidity providers can receive 90–110% APR in the form of MIR, the governance token of Mirror Protocol!

We have constructed a market weight portfolio of the above 5 pairs, based on the size of each tech company as a proportion of the total market cap of the 5.

  • 15% mFB-UST

  • 25% mAMZN-UST

  • 30% mAAPL-UST

  • 05% mNFLX-UST

  • 25% mGOOGL-UST

Because each LP above is paired with the UST stablecoin, volatility is greatly reduced. For example, a drastic 30% drop in stock prices would only result in a 15% drawdown on our assets, something that we are more than capable of riding out because of MIR rewards.

What is the expected growth?

Incentives earned from yield farming these pairs would be sold once a day and used to buy back more LPs so that investors grow their portfolio value over time. This automatic compounding is done by our smart contracts.

The portfolio will be rebalanced quarterly to reset the strategy back to its standard allocations and weights laid out above, so that you will always maintain an ideal allocation to bitcoin!

What are the risks?

Providing liquidity comes with the risk of impermanent loss, where your holdings in an outperforming asset within a pair decreases if there is a pronounced divergence over time between the values of both components. This strategy comes with significant risk of impermanent loss!

Because it is still an early stage innovation, DeFi smart contract vulnerabilities may lead to investors losing all their capital.

Elon's Ape

Risk Level: Degen Type: Flagship Underlying Protocol: Sushiswap & Uniswap

Elon Musk is the world’s richest man and crypto’s ultimate influencer. The product architect of Tesla, “former CEO” of Dogecoin, and the champion of Bitcoin’s inevitability is famous for his market moving tweets. He has leveraged his unique position in tech to get Tesla to buy $1.5b in BTC, and minted overnight millionaires with his ironic meme shilling of DOGE.

In January, Elon Musk changed his bio. It simply read “#bitcoin”, with an auto-generated logo of the world’s largest cryptocurrency. He then accompanied it with a tweet that contained 5 famous words. “In retrospect, it was inevitable”. The crypto community lost their minds. Another milestone in mainstream acknowledgement of our movement.

What is the investing methodology?

This uncomplicated strategy is a long-only basket of the 3 tickers most closely associated with Musk. User deposits will be allocated evenly into ERC20 versions of Tesla, Bitcoin, and Dogecoin. This portfolio is themed around the popularity of one eccentric billionaire.

How are we allocating our portfolio?

  • 33.33% Tesla In the form of sTSLA, by Synthetix, which creates synthetic stock tokens that reflect the prices of real world equities.

  • 33.33% Bitcoin In the form of WBTC, an Ethereum compatible version of Bitcoin, by Bitgo.

  • 33.33% Dogecoin In the form of renDOGE, an Ethereum compatible version of Dogecoin. Dogecoin exists on its own blockchain, and RenVM makes cross-chain assets possible for DeFi.

What is the expected growth?

This strategy has outperformed almost everything in the market, thanks to the meteoric rise of DOGE this year. The graph below gives a backtested look at the performance of this basket from Jan 2020 to the present.

What are the risks?

Take everything you know about tech and finance and throw it out of the window. This degen level vault is not designed with any sound investing principles in mind, and is driven purely by Twitter hype from Elon Musk. You’re buying into an often heavily shorted and controversial stock, as well as a coin created as a complete joke. Expect extreme volatility. Past performance is not an indicator of future success.