Review Delta One – Everything you need to know about it.
Delta One is a yield generation protocol on Solana that offers novel delta-neutral and impermanent loss-free farming markets.
What is Delta One?
Delta One offers delta-neutral yield generating structured products on Solana. A delta-neutral portfolio utilizes multiple positions with balancing positive and negative deltas so that the overall delta of the assets in question totals zero. Delta-neutral and impermanent loss-free farming markets allow hedge funds and retail investors to price their risk and easily hedge away unwanted exposure in liquidity provision.
How Does It Work?
While everyone has a different risk-reward tolerance, we believe that most investors should not be doing manual asset management; yield farming, for instance, requires manual rebalancing, scouting for higher APY pools, and still holds the risk of impermanent loss. Automated and insured markets through structured strategies are the only way Defi can reach mass adoption (1B+ users), and we are confident that Delta One on Solana is the place where that scale of adoption will start.
Outstanding Features
Lenders
Lenders deposit tokens into lend vaults, and receive ibTOK (interest-bearing TOK) that represents their initial deposit + share of yield accumulated. The token is automatically borrowed by farmers, and used to yield farm.
Interest is not guaranteed, and it can be highly variable depending on utilization and the dynamics of the vault. In the case of interest earned, the lender will receive more tokens back in-kind than deposited, but the price of these tokens may have gone down, resulting in net value losses.
Farmers
Delta One makes the farming process extremely simple for farmers. Lending the altcoin (ex. RAY in RAY-USDC vault) is automatically done by the smart contracts, and repaying the lending pool is also automatic. Farmers simply deposit the stablecoin (ex. USDC in RAY-USDC vault), and the rest is handled for them.
Farmers can withdraw at anytime, by first unstaking their position, and then cashing out to repay lenders (initial deposit + interest owed). Divesting realizes any impermanent loss based on the price of the borrowed asset at the time of divesting. In a perfect scenario, since farmers are short volatility, they divest at a time where the current price of the asset is as close as possible to the farmer’s average price invested (which is displayed on the farmer’s position info on the vault page).
Risks
Lender Risks
Delta Protocol smart contracts have not been professionally audited. Smart contracts can be hacked, manipulated, and not function as expected. In such circumstances, the user may incur a partial or complete loss of the funds deposited. Users are advised to exercise caution and only risk funds they can afford to lose.
Another risk for running this strategy is that the automated market maker (which Delta Protocol smart contracts move your deposit into) may incur a smart contract risk or flash crash in which the prices of the tokens fluctuates in an unpredictable way causing extreme changes in price that lead automated systems like Delta One to misbehave
Farmer Risks
The smart contracts that this interface is connected to have not been professionally audited. Smart contracts can be hacked, manipulated, and not function as expected. In such circumstances, the user may incur a partial or complete loss of the funds deposited. Users are advised to exercise caution and only risk funds they can afford to lose.
There is also risk of liquidations, in which there is a liquidation fee of 10%.
Rebalancer
To allow farmers to remain delta-neutral, the protocol allows users to set rebalancer parameters on when they’d like their position to be rebalanced. Users can choose to manually rebalance their position at anytime, but when the position falls under scope of rebalancing based on the user’s parameters, it is allowed to be rebalanced by anyone. Delta One currently runs a bot on a random interval ranging from every 5 minutes to 2 hours.
Roadmap
Updating.
Technical Data
Token Metrics
- Token Name: Delta One
- Ticker: Updating
- Blockchain:Â Solana
- Token Standard:Â SPL
- Contract:Â Updating.
- Token Type:Â Utility, Governance
- Total Supply:Â Updating.
- Circulating Supply: Updating.
Token Allocation
Updating.
Token Sale
Updating.
Backers
Team
Updating.
Partners
Updating.
Investors
Conclusion
Delta One is democratizing sustainable yield to the next billion users of DeFi through yield generating structured products and a delta-neutral stablecoin. These novel delta-neutral and impermanent loss free farming markets allow hedge funds and retail investors to price their risk, and easily hedge away unwanted exposure in a way that has never before been possible for liquidity provision.
Find more information about: Delta One
Website: https://www.deltaone.xyz/#/
Whitepaper: https://docs.deltaone.xyz/delta-one/
Twitter: https://twitter.com/deltafarming
Telegram: https://discord.com/invite/Wm3WvQnpv7
If you have any questions, comments, suggestions, or ideas about the project, please email ventures@coincu.com.
DISCLAIMER: The Information on this website is provided as general market commentary, and does not constitute investment advice. We encourage you to do your own research before investing.
Issac
Coincu Ventures
Author
DeFi Reviews, DeFi
Review Delta One – Everything you need to know about it.
Delta One is a yield generation protocol on Solana that offers novel delta-neutral and impermanent loss-free farming markets.
What is Delta One?
Delta One offers delta-neutral yield generating structured products on Solana. A delta-neutral portfolio utilizes multiple positions with balancing positive and negative deltas so that the overall delta of the assets in question totals zero. Delta-neutral and impermanent loss-free farming markets allow hedge funds and retail investors to price their risk and easily hedge away unwanted exposure in liquidity provision.
How Does It Work?
While everyone has a different risk-reward tolerance, we believe that most investors should not be doing manual asset management; yield farming, for instance, requires manual rebalancing, scouting for higher APY pools, and still holds the risk of impermanent loss. Automated and insured markets through structured strategies are the only way Defi can reach mass adoption (1B+ users), and we are confident that Delta One on Solana is the place where that scale of adoption will start.
Outstanding Features
Lenders
Lenders deposit tokens into lend vaults, and receive ibTOK (interest-bearing TOK) that represents their initial deposit + share of yield accumulated. The token is automatically borrowed by farmers, and used to yield farm.
Interest is not guaranteed, and it can be highly variable depending on utilization and the dynamics of the vault. In the case of interest earned, the lender will receive more tokens back in-kind than deposited, but the price of these tokens may have gone down, resulting in net value losses.
Farmers
Delta One makes the farming process extremely simple for farmers. Lending the altcoin (ex. RAY in RAY-USDC vault) is automatically done by the smart contracts, and repaying the lending pool is also automatic. Farmers simply deposit the stablecoin (ex. USDC in RAY-USDC vault), and the rest is handled for them.
Farmers can withdraw at anytime, by first unstaking their position, and then cashing out to repay lenders (initial deposit + interest owed). Divesting realizes any impermanent loss based on the price of the borrowed asset at the time of divesting. In a perfect scenario, since farmers are short volatility, they divest at a time where the current price of the asset is as close as possible to the farmer’s average price invested (which is displayed on the farmer’s position info on the vault page).
Risks
Lender Risks
Delta Protocol smart contracts have not been professionally audited. Smart contracts can be hacked, manipulated, and not function as expected. In such circumstances, the user may incur a partial or complete loss of the funds deposited. Users are advised to exercise caution and only risk funds they can afford to lose.
Another risk for running this strategy is that the automated market maker (which Delta Protocol smart contracts move your deposit into) may incur a smart contract risk or flash crash in which the prices of the tokens fluctuates in an unpredictable way causing extreme changes in price that lead automated systems like Delta One to misbehave
Farmer Risks
The smart contracts that this interface is connected to have not been professionally audited. Smart contracts can be hacked, manipulated, and not function as expected. In such circumstances, the user may incur a partial or complete loss of the funds deposited. Users are advised to exercise caution and only risk funds they can afford to lose.
There is also risk of liquidations, in which there is a liquidation fee of 10%.
Rebalancer
To allow farmers to remain delta-neutral, the protocol allows users to set rebalancer parameters on when they’d like their position to be rebalanced. Users can choose to manually rebalance their position at anytime, but when the position falls under scope of rebalancing based on the user’s parameters, it is allowed to be rebalanced by anyone. Delta One currently runs a bot on a random interval ranging from every 5 minutes to 2 hours.
Roadmap
Updating.
Technical Data
Token Metrics
- Token Name: Delta One
- Ticker: Updating
- Blockchain:Â Solana
- Token Standard:Â SPL
- Contract:Â Updating.
- Token Type:Â Utility, Governance
- Total Supply:Â Updating.
- Circulating Supply: Updating.
Token Allocation
Updating.
Token Sale
Updating.
Backers
Team
Updating.
Partners
Updating.
Investors
Conclusion
Delta One is democratizing sustainable yield to the next billion users of DeFi through yield generating structured products and a delta-neutral stablecoin. These novel delta-neutral and impermanent loss free farming markets allow hedge funds and retail investors to price their risk, and easily hedge away unwanted exposure in a way that has never before been possible for liquidity provision.
Find more information about: Delta One
Website: https://www.deltaone.xyz/#/
Whitepaper: https://docs.deltaone.xyz/delta-one/
Twitter: https://twitter.com/deltafarming
Telegram: https://discord.com/invite/Wm3WvQnpv7
If you have any questions, comments, suggestions, or ideas about the project, please email ventures@coincu.com.
DISCLAIMER: The Information on this website is provided as general market commentary, and does not constitute investment advice. We encourage you to do your own research before investing.
Issac
Coincu Ventures
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