First Look: Dfund
The Parachain Empowering Polkadot With Grade A Hedge Fund and Loaning Solutions
A Complex Market
With each passing day, market complexity and diversity continue to propagate at an alarming rate. With so many companies to sift through, the working man struggles to allocate the necessary time to comprehensively analyze market conditions. So, they turn to hedge funds, but hedge funds offer limited trading solutions, charge hefty fees, and leave their exact trading histories shrouded and obscure.
This means the investor must base their decision on empty numbers and often grandiose promises when selecting a hedge fund. Dfund aims to be the comprehensive solution average investors are looking for in the overwhelming market conditions of today, for not only investing but also loans and some synthetics.
The All-Encompassing Fund
Dfund is commencing its operations on the technologically advanced Polkadot Network. On Polkadot, Dfund will offer hedge funds and loaning services run on a DAO (Decentralized Autonomous Organization) governance model. Dfund, being blockchain-based, provides never-before-seen transparency for investors, allowing them to see trading history, risk, and potential yield for where they choose to allocate their money. Also, users can launch their very own hedge funds through Dfund, creating a vast array of options.
On the loaning side of Dfund, we find an interesting approach. Each Dfund loan gets a performance rating; these ratings determine the credit rating of said individual, providing people who pay off their loans promptly better deals on collateral and interest rates in the future.
Furthermore, Dfund has created a Secondary synthetic market where people can buy and sell loans if they urgently need liquidity. Finally, the DAO governance model creates the opportunity for users to get involved with their assets. These subtle yet effective innovations give Dfund an edge over traditional hedge funds, an edge that looks to be paid forward to its users.
The Well-Defined Dfund Team
Dfund’s development and operations are bolstered by a world-class team of crypto veterans. This team is comprised of Greg R. Betz, Savo Vukcevic, and Rohan Jethi. Greg worked alongside Vitalik Buterin on Ethereum to strengthen the protocol and network. He also has a rich history in research and development with Duality Blockchains, where he invented a new proof-of-work encryption algorithm.
As for Savo Vukcevic, he is the youngest hedge fund manager of all time. Additionally, Savo has assisted in developing massive crypto projects such as EURS, the euro-backed stable coin. Lastly, Rohan Jethi provides the business development support necessary to allow Dfund to excel. Rohan honed his skillset at Deloitte, the largest consulting agency, and was involved in a multitude of crypto projects. In conclusion, I believe the wildly successful backgrounds of each individual at Dfund equip it with the leadership necessary for a bright future.
Dfund’s tokenomics are somewhat similar to their product since they both emphasize transparency. As a result of this transparency, we are able to ascertain that, at the very least, they handled the vesting schedule and allocation split between private seed and public remarkably well.
Dfund’s token also features certain utilities on the network. Firstly, It facilitates the buying and selling of smart contracts for individual stakes in funds and loans. For example, if you owned a stake in a Dfund with a 50%apy, another user could offer to buy your stake for a 10% premium. The seller mitigates their risk, and the buyer takes on more risk for more potential yield. Dfund morphs many of its platforms features into synthetic products to be bought and sold via tokenization.
Dfund appears capable of etching itself a spot in the hedge fund and loaning market. Their innovative take on the trading of loans and stakes serves to separate them from their competitors. Lastly, and most importantly, they deliver on the most critical aspect of finance, transparency. Dfunds commitment to transparency in all facets of their business will be the defining factor for whether people choose to utilize their platform going forward. This collection of utility and honesty makes me optimistic as they head toward the final stages of development.
Graphics by Caelan Flemmings
Edited by Dr. Deeban Ratneswaran