Waterfall DeFi is a platform that offers risk diversification through tranching a portfolio of yield generating DeFi assets. Our tranching mechanism builds on top of our yield aggregator logic which redistributes yield and principal from a selected pool of DeFi yielding assets according to priority, arranged from highest & fixed rate (Senior Tranche), to the lowest & variable rate (Junior Tranche). Waterfall is one of the first platforms to deliver traditional tranching methodology to DeFi, enabling more conservative DeFi users to safer, fixed, and covered yields while also providing products for higher risk-tolerant users for leveraging yield returns generated from farms across the space.
The advantage of Waterfall DeFi is it's flexibility and the user base it could reach.
We are building a diverse set of portfolio strategies and we target to include the tranching mechanisms to all risk-bearing assets, ranging from stables, tokens, LPs and more. We aggregate yield and restructure risk and rewards into categories through composing on top of DeFi protocols across the space.
We have a well-defined tranche differentiation. Thicknesses of tranches are set to ensure a decentralized risk market where Senior tranches gets a coverage of deposited capital with premium paid to the Junior tranches via a portion of Senior's earned yield. Dynamic tranche thickness and portfolio composition will come in the future to incentivize an autonomous flow of demand to our tranches (Senior, Mezzanine and Junior).
We strive to go multi-chain and maximize inclusiveness. Liquidity flows across chains over a short period of time and often lucrative yield opportunities exists in emerging Layer-1 chains such as Avalanche and soon Layer-2s such as zkEVM. While having BSC as a foundation we hope to maximize our reach to the DeFi space and ensure the community gets to use our products that taps into their favorite farms.
We look for sustainable tokenomics. Most farms today provides high yield with token inflation to users for attracting TVL. We look for sustainability in our governance token that we do not provide per-block rewards but rather regular retroactive airdrops. Our veWTF staking module follows the veCRV system pioneered at Curve that requires users to lockup their tokens to earn staking rewards and protocol fees. In the future we look for implementing gauges and bribes to enable voting for directing the deployment flow of users' capital across yield farms, which would attract protocol level demand to veWTF as a representative token for liquidity and TVL.
<aside> 💷 Waterfall DeFi is generating revenue!
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USD 2M