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LinkedIn Live: Structured Products in DeFi | 12/14 Newsletter
LinkedIn Live: Structured Products in DeFi | 12/14 Newsletter
Inside this week’s newsletter, our LinkedIn Live with The Tie.
12/14/2022
Index Coop
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LinkedIn Live: Structured Products in DeFi
While the year is gradually drawing to a close, Index Coop has a lot going on as we prepare for 2023. From new partnerships to product launches, the upcoming year is focused on delivering simple, sustainable products that benefit our holders.
Inside this week’s newsletter:
Today’s LinkedIn Live with The Tie
A closer look at how icETH generates yield
A wrap-up of the Community/Index Insiders call
— The Index Coop team
Watch The Tie LinkedIn Video
Today at noon Eastern/5 pm UTC, our head of institutional business Jordan Tonani joins The Tie and Hamzah Khan from Polygon on a LinkedIn Live to discuss “Investing in Indices: Structured Products in DeFi.”
We expect them to discuss:
How can customers & institutions gain thoughtful and safe access to DeFi products?
How do DeFi product creators, like the Index Coop, decide which products to launch
How can DeFi create valuable diversified products?
If you’re interested, we encourage you to take advantage of this opportunity to understand better what DeFi is and what structured products look like on-chain.
icETH Questions Answered
In the simplest terms, Interest Compounding ETH Index (icETH) is an ERC-20 token that enhances ETH staking rewards (at the time of writing, icETH is generating an APY of 7.56% vs. stETH’s 4.90%). However, under the hood, it's a fairly complex product.
To help holders and potential icETH customers better understand the product, we’ve published a thorough Q&A post. Check out our helpful calculator to estimate your mainnet icETH yield.
In this Q&A, you'll get an in-depth understanding of the following:
Where icETH's yield comes from
How icETH works
How yield accrues to icETH
Why the price of icETH is sometimes less than ETH
A calculator to estimate your icETH yield
Security and risks associated with icETH
The best ways to buy icETH for trades of different sizes
Read "Understanding Your icETH Yield"
Index Community/Insiders Call Wrap-Up
This past Tuesday, we hosted an open discussion with our customers and community. Community member the_emerald received an exclusive Index Insiders NFT for their contributions and feedback to our DAO.
Despite the volatility this past year, we reaffirmed our commitment to building decentralized products. Not only can all our products be self-custodied, but our product holders can view their holdings at any point with proof of collateral. We believe it’s vital to clearly and transparently acknowledge risks to give holders as much security for their assets as possible.
A brief discussion and links to resources were provided regarding icETH, our product roadmap, and a couple of new products to be launched in 2023, Diversified Staked ETH (dsETH) & Diversified Stablecoin Yield (DSY). We’re excited to share more soon.
Keep an eye out for the next live Index Community/Insiders Call. Until then, feel free to stop by our Discord.
To get analysis & updates from Index Coop delivered to your inbox, subscribe to the Index Insights newsletter.
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FAQs
Index Coop yield tokens simplify earning yield in DeFi by automating complex strategies and diversifying across protocols. They are user-friendly and cost-efficient, appealing to both new and seasoned DeFi users.
Leverage tokens automate a leveraged position by utilizing onchain money markets like Aave or Morpho to borrow funds, amplifying a user's exposure to an asset without requiring manual management. The token's smart contracts autonomously handle the borrowing, lending, and rebalancing of assets, maintaining a consistent leverage ratio despite market fluctuations. This automation eliminates the complexities of collateral management and liquidation risks, while also charging low, transparent fees that avoid expensive funding rates often charged by perps.
Index Coop is a decentralized autonomous organization (DAO) that specializes in creating and maintaining onchain structured products. Index Coop aims to democratize access to the crypto market, empowering everyone to participate in the growing digital asset ecosystem with ease.
No, yield automatically compounds and accrues to the token price. The value of the tokens you hold in your wallet will simply go up over time without the need to claim or compound rewards.
Index Coop products protect you from liquidation with automated risk management that rebalances assets to maintain a target leverage ratio that avoids liquidation.
INDEX is the ERC-20 governance token on Ethereum for Index Coop. INDEX empowers its holders to participate in decision-making processes that shape the future of Index Coop.
Yes, all Index Coop products are instantly redeemable for their underlying value at all times.
Yes, all Index Coop smart contracts have been audited by leading independent security firms such as OpenZeppelin, ABDK, Isosiro, & more. There is also an active bug bounty program through ImmuneFi. Audit information is published in the docs here.
Streaming fees (an annual fee paid continuously block-by-block), mint and redeem fees (only on leverage tokens), and borrow costs (interest paid to borrow funds from onchain markets when using leverage).