A significant use of blockchain technology is decentralised finance (DeFi), where total value locked (TVL) has dropped below 20% of its peak. Decentralized exchanges (DEXs) that reward liquidity providers, lending, staking, and yield farming are just a few of the many yield-generating options offered by DeFi. Retail investors are, however, at risk of significant volatility and sudden losses, particularly when tokens placed in liquidity pools lose value compared to those retained.
The availability of organized strategies ensures equal opportunity
Users of cryptocurrencies must employ advanced strategies and approach produce farming as a professional asset management company rather than a get-rich-quick scheme to make the most of DeFi. Experienced fund managers have the highest prospects of succeeding in DeFi because they use sophisticated financial engineering, quantitative models, and complicated strategies.
Even these experts could have trouble, though, as DeFi asset management calls for extra expertise in on-chain logistics. Quant traders would struggle to scale their tactics and achieve potential gains without the assistance of blockchain engineers to individually integrate each protocol on several chains.
There are currently a few specialized platforms that offer this on-chain trading infrastructure, allowing for tighter interactions between retail cryptocurrency users and qualified digital asset managers. As a result, users and investors frequently make their way through the complex world of DeFi, manually taking part in yield-farming schemes rather than employing systematic tactics. This manual procedure could have more costs than advantages due to the lack of a systematic approach.
Automated asset management is available through the DeFi platform
A platform for on-chain asset management called Range Protocol connects DeFi customers with knowledgeable vault managers who employ cutting-edge quantitative techniques. They build noncustodial portfolios that are customized for various asset strategies and risk appetites, assuring accessible systematic trading techniques while giving consumers total control over their money.
Professional vault management
Users can deploy liquidity on DEXs using Range’s automated Concentrated Liquidity AMM Vaults. These vaults carry out just-in-time liquidity rebalancing, optimize liquidity ranges, and adapt to market situations. Users can use assets to implement bespoke strategies while minimizing custody risks. Range Protocol intends to create vaults specifically for each of the DeFi categories, such as liquid staking, concentrated liquidity AMMs, NFT Finance, and derivative markets.
Benefits for both professional asset managers and retail investors
For retail users:
1. Asset security: Cryptographic assets are kept safe on-chain in non-custodial safes that allow for withdrawals at any time.
2. Product diversity: The Range offers a variety of assets and offers several techniques for each token, providing a broad investment portfolio.
3. Complete automation: Range’s vaults are handled by fully automated, systematic techniques, removing the requirement for manual intervention.
For asset managers and quant trading companies:
1. Financing: Asset managers may swiftly expand their strategies on Range, promoting development and expansion.
2. Development: Range protocol offers the framework to carry out interactions effectively, removing on-chain logistics for vault managers.
Experienced team
Range Protocol, which has over 200 projects and OTC trading activities, intends to use quantitative research in its strategies. The platform plans to grow into other DeFi areas, including NFTs, liquid staking tokens, and derivatives. Range delivers an on-chain, noncustodial quant trading platform for active asset management.
