Since the first American Exchange Traded Fund (ETF) was launched in 1993, the development of ETF has come a long way. Nowadays, investors are generally aware that ETF is an indispensable financial tool. As of the end of October 2020, the amount of index products worldwide is about $10 trillion, and it is estimated that it will exceed $12 trillion by 2023.
In 2020, the cryptocurrency market has a new development opportunity. With the rise of DeFi projects represented by COMP, YFI, UNI and AAVE, the value of Token has been improved by means of Mining, AMM, Farming and Aggregators. It makes the cryptocurrency market is no longer a single spot trading stage and gradually forms the base currency represented by BTC and ETH, public chain ecology represented by ETH, BSC and SOL, DeFi ecology represented by COMP, YFI, UNI, AAVE and Sushi, and NFT ecology represented by Flow, MANA, ENJ and CHR, the whole market and ecology are gradually getting matured.
The cryptocurrency market has transited from the spot trading and mining stage to the DeFi + Farming stage, and crypto ETF has come out.
MatrixETF is the next generation of decentralized ETF platform supporting cross-chain. Its aim is to establish a decentralized, automated, personalized and diversified ETF portfolio to lower the bar of the cryptocurrency market for ordinary investors, and help them obtain diversified strategic returns through more convenient operation process and more efficient portfolio allocation, so as to achieve long-term and stable wealth growth.
With the boom of DeFi market, an increasing number of investors start to tune in to the cryptocurrency market. But for those newcomers, the market is not so friendly that there are some standards:
- They need a lot of professional knowledge and skills, including blockchain technology, transaction process and wallet creation, etc.
- The high volatility of the encryption market means that they need to spend a lot of time to track the trend and direction of the cryptocurrency market on a regular basis.
- On-chain transaction needs the higher gas fee and longer wait time, and the trading and transfer process are complex.
- There are numerous blockchain projects in the market, many of which are frauds and manipulations, so it is required that investors have a strong capability of investment.
These requirements limit the opportunity for ordinary people to enter the encryption market and participate in the DeFi, making the DeFi a luxury for a small minority group.
For ordinary investors, the simpler the investment, the better. They have the opportunity to invest without being proficient in the complex operations. Therefore, the value of ETF index investment gradually appears.
In fact, index investment does not need investors to know too much about specific assets, but an overall understanding of the industry is needed. Anyone can allocate their assets to the index products, such as ETF or mutual fund, so as to obtain the investment exposure of a variety of asset portfolios and gain larger profits. This is undoubtedly a “HODL”.
We believe that based on the diversity, operability and programmability of the DeFi ecosystem, we can develop and combine the DeFi products in the market like building LEGO blocks, create more innovative financial products, form a strong interoperability between them, and better interact with other financial agreements with open license.
The vision of MatrixETF is to conceive a financial world in which the acquisition of wealth is a passive and automated process. Anyone can make fortune through the Internet regardless of geography and infrastructure, and obtain an open and transparent investment portfolio and various investment strategies to quickly and easily participate in DeFi finance so as to obtain income and incentives, and jointly determine the direction of development through DAO community.
The future belongs to every MatrixETF participant.
MatrixETF is the next generation of decentralized ETF platform supporting cross chain. According to the overall performance of cryptocurrency market, MatrixETF will launch a series of conceptual ETFs to track quality tokens in blockchain industry and DeFi.
The Logical Design of MatrixETF, as shown in the following figure:
MatrixETF platform is managed by MatrixDAO, which is a decentralized community autonomous organization. MatrixDAO launched several lead conceptual ETF funds as the foundation of platform startup, and then gradually transited to community autonomy to jointly determine the construction and implementation of ETF products. The ultimate goal is to let community members make their decisions independently of the development and future direction of the platform.
MatrixETF Set is an ETF-DeFi protocol, which can provide investment portfolio and trading services for asset issuers/KOL, asset managers and individuals. Through this agreement, any user can create an ETF of cryptocurrency, receive capital injection from other users, and participate in the DeFi to generate returns.
MatrixETF has made a great progress in terms of technology, operation and market members, including:
- New version and deployment of the official website have launched.
- The perfection of MatrixETF Documents.
- Social media platforms (Twitter, Medium, Telegram, etc.) have been created and operating.
- The function development of ETF products in beta based on Solana has completed, which will be launched soon after debugging.
- ETF products in beta based on Ethereum are also in debugging.
- MatrixETF has raised a round of private financing.
In the next few weeks, we will share more details about MatrixETF protocol, token allocation and IDO, MatrixETF APP, MatrixETF Fund, Community ambassador and volunteer recruitment.
We hope you can join us and co-create this community! 🚀🚀🚀