Thetanuts Finance, a structured DeFi platform has just announced the creation of a new index vault called Thetanuts Stronghold. To circumvent the hassles of options strategies, this tool allows users to stake their assets straight into DeFi Option Vaults. Thetanut Stronghold’s non-inflationary return potential, risk control and simplified user experience make it ideal for investors. Custom option vault indexes developed by Thetanuts researchers provide a similar purpose to the S&P 500 in stock trading.
Additionally, users receive a yield-bearing token that earns greater profits by selling options throughout the curve, while benefitting from a more diverse risk profile. Essentially, multi-strike, multi-tenor, multi-asset options vaults are consolidated into a single Stronghold token. This safeguards users against severe vault drawdowns in negative market situations. Mean reversion serves as an additional layer of protection for investors using the multi-strike, multi-tenor approach.
What’s Thetanuts Finance up to?
Formed by a team of programmers, hedge fund managers and financial experts in August 2021, Thetanuts Finance is a financial crypto product development company. In addition to providing treasury management services for DAOs, it also aims to help token holders earn a return on their investments.
The protocol attempts to address issues of choice paralysis, liquidity lock and concentrated risk with the use of blockchain technology. For investors, the option of numerous put vaults on the same chain gets more complex with many conflicting protocols. It can be tough to pick which one is best for you because of this. Smart contracts in the Thetanuts Stronghold protocol automatically deploy staked assets into specified covered selling option strategies. In contrast to the inflationary token payouts seen in other DeFi protocols, it gives the base return by paying premiums.
In order to make it easier for customers to choose assets to create yield, connect with the indices they’re best suited for, and identify the blockchain their assets are located on, Thetanuts Stronghold has unified all of its products under a single, simpler interface. Avalanche, Binance Smart Chain and the USDC Stronghold index vault were the first to go live. Additionally, it will soon be available on other chains such as Polygon and Fantom.