Reef Finance, a DeFi ecosystem powered by Polkadot, has launched a brand new funding product aimed toward serving to passive buyers achieve entry to a broader portfolio of cryptocurrencies.
Reef Baskets V1 is described as an “Ethereum-based framework for deploying collections of DeFi tokens” and different crypto belongings. It operates in the same method to exchange-traded funds, or ETFs, that are common amongst conventional buyers and institutional managers.
Traders who use Reef Baskets have the chance to spend money on a number of DeFi token baskets on the identical time. Reef Finance describes its Baskets as a “quantitative strategy to yield farming” that reduces an investor’s decision-making house to simply two components: how a lot cash they’re prepared to take a position and the way a lot threat they’re prepared to imagine.
The preliminary model of Reef Baskets is offered on Ethereum, with a forthcoming launch scheduled for the Polkadot-based Reef Chain.
CEO Denko Mancheski believes Reef Baskets offers a viable choice for buyers who don’t have time to sift via the a whole lot of recent DeFi initiatives hitting the market. He defined:
“Reef Baskets are the perfect device for the passive investor who might not want to spend time researching and curating his personal portfolio of tokens […] Choosing the winner is objectively exhausting in DeFi, and Reef Baskets mixed with the Sensible Engine simplifies the funding course of.”
Decentralized finance stays one of many hottest verticals inside the blockchain business. There are at present 274 cryptocurrencies listed within the DeFi class of CoinMarketCap, a determine that’s prone to broaden considerably this 12 months as extra initiatives come on-line. The market cap of present DeFi initiatives is listed at simply over $98 billion.
Reef Finance made headlines final month after it acquired $20 million in strategic investments from Alameda Analysis. The acquisition gave Alameda an estimated 528 million REEF tokens.