FAQ
Finexify is a cryptocurrency fund manager that provides the easiest and most secure way to get exposure to one of the most innovative and promising applications of the blockchain technology - Decentralized Finance (DeFi). DeFi is a complex and often a very high-risk space suitable only for the most tech- and crypto-savvy people with multiple opportunities for generating extraordinary profits.
The team behind Finexify has more than 50 years of combined experience in the IT, blockchain, and financial industries and through its Legend funds it aims to simplify the access to DeFi.
Finexify currently manages its Ethereum Green Legend Fund, where investments with Ethereum and stablecoins (e.g. USDT, USDC, DAI) are accepted and is working on launching its Bitcoin fund.
DeFi is short for Decentralized Finance and is a term that describes multiple different applications using the blockchain technology that provide traditional financial services without any intermediaries (e.g. banks).
You can find more information here.
Bitcoin is the first and most popular cryptocurrency using the blockchain technology. It was first launched in 2009 by a mystery man or a group of people going under the name “Satoshi Nakamoti” and it is not issued nor backed by any central authority. It is often referred to as digital gold as it has a limited supply and many long-term holders use it as a store of value.
Decentralized Finance is a new, very innovative and highly technological branch in the blockchain industry but due to its complexity, most investors are not ready to explore its profit opportunities making it a very lucrative investment for those who can navigate in the space. Furthermore, investing in Decentralized Finance projects is not as susceptible to the sentiment in the cryptocurrency industry and is able to generate profits in both bull and bear markets. On the other hand, existing cryptocurrency funds mostly buy, hold and sell cryptocurrencies and thus, their profits greatly depend on being in a bull market.
We are a team of experts that puts security as a first priority. We are extremely diligent in evaluating each project which we enter and maintain the highest security standards at all times. Some of the reasons to choose to invest with Finexify are:
- Convenience – you invest and forget, we manage everything instead of you;
- Lack of knowledge and experience– there are plenty of DeFi projects but you need to have programming and financial background to evaluate the risks as well as experience in the cryptocurrency space;
- Your portfolio holdings - in order to invest in the Decentralized Finance (DeFi) space, you need to always have a perfect balance of two cryptocurrencies. Maybe you have only Ethereum and do not want to hold stablecoins or maybe you have only USDT and do not want to be exposed to the Ethereum price. As fund managers we always perfectly balance the two sides, so you invest only what you hold.
No. We accept only digital assets as investment but can guide you through the process of obtaining the cryptocurrency you want to invest. Our funds require the investment of stablecoins that are pegged to the dollar (e.g. USDT, USDC, DAI) and/or Ethereum and/or Bitcoin.
If you are interested in our Legend fund, please do not hesitate to contact us through the contact form on our website or at investment@finexify.com.
The DeFi space is very dynamic and our team is constantly in search for the best and most profitable opportunities while maintaining a reasonable level of risk. Up to now, the fund has been able to generate between 2 and 12% monthly return and our target APY is 30-50%. The profitability depends on the overall market trading volumes, type of deposited cryptocurrency and price of the invested digital assets, among others. Please note past performance does not always indicate future profites.
Finexify focuses on providing value and generating outstanding profits for its clients and thus does not charge any management fee on its Legend Funds. There is a 40% performance fee, which is billed and paid on the last day of each investment period (each lasts a quarter) and is due only when there is a positive outcome for the investor.
There is a 2% exit fee to discourage short-term investors from entering the fund but exits free of charge are still permitted once per year.
Cryptocurrencies are not regulated and do not fall under any protection scheme. They are a highly speculative instrument and you should invest only funds that you can afford to lose.
Finexify takes all necessary steps to minimize any risks and maintains the highest standards for fund protection in the cryptocurrency industry. The assets are always kept in cold storage with strict access rules.
The experienced team behind Finexify is aware of all risks that accompany the DeFi space and thus before entering a new blockchain protocol we always evaluate them.
These are one of the main risks, some of which can result in a 100% loss:
- Smart contract risk - vulnerabilities that expose the contract to attackers not addressed by the contract developer;
- Stablecoin issuer risk - e.g. Tether/Circle failing;
- Blockchain infrastructure risk - Ethereum/Polygon/Binance Smart Chain consensus layers failing;
- Decentralized bridge risk - the bridges used to transfer funds between blockchains fail (e.g. the multisig of the polygon-ethereum bridge gets compromised);
- Impermanent loss - this is a risk that cannot be fully mitigated. You are exposed when you provide liquidity to a liquidity pool, and the price of the deposited assets changes. The more it changes, the higher the impermanent loss. Our team thus follows a strict protocol to limit the impermanent loss risk through rebalancing of its portfolio when certain criteria is met.
Please consult with your tax adviser if earning profits in cryptocurrencies is subject to any capital gains taxes. Many jurisdictions do not consider this a taxable event until the cryptocurrencies are sold to fiat currency. If you need help to sell your cryptocurrencies to fiat, please do not hesitate to contact us at investment@finexify.com.