Top managers and investors are being invited to compete for $600,000 in STRT tokens in the SolStreet protocol’s inaugural devnet investment competition, with roughly $600,000 in STRT tokens up for grabs for investors and fund managers.
SolStreet is a non-custodial asset management and investing protocol built on Solana that enables anybody to create a decentralized hedge fund straight to market.
Using the Serum DEX, all trades and assets stay verifiably on-chain. Solana provides low latency, high throughput, cheap transaction costs, and deep liquidity, outperforming earlier attempts on non-performing blockchains like Ethereum.
Tokenomic incentives that are strong enough to support long-term, sustainable protocol growth.
Solana development team with extensive experience and competence – recent winners of the Orca prize at the Solana Season Hackathon.
Invictus Capital, a pioneer in blockchain-based asset management with a track record of successful seed investments, will provide strategic seed investment and incubation.
Despite the fact that the global asset management business manages more than $100 trillion and is growing at a rate of more than 10% per year, the industry faces a number of problems, including:
- Large third-party set up costs.
- Slow settlement.
- High minimum investment amounts.
- Compliance overheads.
- Misaligned incentives.
Solana enables an asset management platform to support a variety of higher-frequency strategies that were previously limited to custodial types of asset management, which runs against the spirit of the rising DeFi movement. The Solana ecosystem is surpassing even the overall growth of DeFi, having surpassed $1 billion in TVL for the first time in May 2021. This gives SolStreet the potential to collaborate with other projects to increase functionality and develop TVL, volumes, and community awareness in a symbiotic manner.
How it works
Anyone can start or invest in a decentralized, non-custodial fund. Using the Serum DEX, all trades and assets stay verifiably on-chain. The protocol enables smooth and near-zero-cost subscriptions and redemptions to and from investment funds.
Furthermore, you may invest in a currency of your choice or redeem your investment in any currency, with all transactions automatically routed via the Serum DEX. This assists the asset manager in resolving issues such as cash drag or portfolio unbalancing caused by investment inflows or the requirement to offer withdrawal liquidity. The asset management may control their fund’s portfolio allocation by approving asset swap transactions without being able to withdraw assets, maintaining the security of client funds.
For asset swaps, the platform makes use of the Serum exchange, the Solana ecosystem’s liquidity engine. Serum now supports more than 70 asset pairings, including leveraged tokens, with daily high transactions just shy of $200 million in May 2021. Importantly, the protocol supports order books, outperforming typical automated market makers in terms of liquidity delivered per unit of capital committed.
A simpler fee structure is employed, with performance fees payable on any fund appreciation subject to a high watermark, and this is accomplished by the redistribution of fund tokens from investors to the fund management. We hope to enhance fund comparability and streamline the investment process by removing management costs and complicated fee structures.
In addition, the protocol intends to include a governance token that would employ new tokenomic incentives to encourage long-term platform growth.
SolStreet is being developed from the ground up by a skilled team lead by 0xab, who won the Solana Season Hackathon Orca award with their unique arbitrage bot, Orca Arb, last month.
$600 000 trading competition
Over the course of the tournament, 1,000,000 STRT tokens (worth about $600,000) will be given away. Prizes will be given to both fund managers and investors in the competition.
The first competition period will start on the 2nd of August and run for a two-week period. Thereafter, rewards will be allocated to winners and entries for the next competition will open (an entry into any competition qualifies you for all subsequent competitions). Fill out this form to express your interest.
The goal of these competitions is to offer new users the chance to interact with the protocol’s fundamental functionality and provide useful input to the development team for new features and enhancements. Their objective is to develop the greatest decentralized fund management system possible, which will be made feasible by feedback from early users. These tournaments are also the first chance for the general public to get the protocol’s STRT tokens – prior to any public sale.
The competition is open to both investors and fund managers, and the best performances in each category will be rewarded. These will take the form of STRT, the protocol’s governance token. Money Never Sleeps has received 1% of the entire STRT token supply (1,000,000 tokens), which equates to about US$600,000 in rewards at public sale pricing. In due future, the specific token distribution per tournament and category will be made public.
All competitions will take place on the devnet, therefore all transactions will be paper trades, meaning no actual tokens will be traded and participation will be risk-free.
Fund managers will be able to test the protocol’s fundamental functioning in the inaugural competition, The Wolf of SolStreet, by constructing a portfolio utilizing some of the most liquid crypto assets and stablecoins, including BCH, BTC, DOGE, ETH, LUNA, LTC, SOL, SRM, and USDC. The asset prices are obtained via the Pyth network.
Additional trading capabilities, including the ability to create stop-loss and take-profit orders, as well as the usage of leveraged or short positions (through the inclusion of BULL and BEAR tokens), will be made accessible to fund managers during the course of Money Never Sleeps.