It is our pleasure to report the results of our DeFi Green Legend Fund as of Jun 30 2022
Financial Highlights (Unaudited):
AUM as of 30 Jun 2022 decreased to $2.5M from $5.2M as of 30 Mar 2022 (51.9% decrease in 3 months, mostly due to the 69.02% price decrease of ETH as an underlying asset).
The return on Stablecoin (USDT/USDC/DAI) was -3.8% (loss) in Q2 2022 and the total cumulative return amounted to 75.69% since inception at 12 Feb 2021.
The return on Ethereum was -3.8% (loss) in Q2 2022 and the total cumulative return amounted to 59.04% since inception at 12 Feb 2021.
Q2 2022 has been one of the worst performing quarters in the history of digital assets. The market has shed 1T in market capitalization due to macroeconomic headwinds, geopolitical conflicts, the Terra Luna crash, and the insolvency crisis across the entire crypto ecosystem.
The market touched peak fear that lead to a broad-based sell off across entire asset classes. The discovery of interconnectedness of the credit and leverage across big institutions in the crypto space, made matters worst, causing both a confidence and a liquidity crisis.
Finexify remained completely liquid and unaffected by the Terra Luna collapse, bankruptcy of hedge fund Three Arrow Capital, the pausing of trading and withdrawals of crypto lender Celsius, and crypto broker Voyager. Investor funds are safe and sound!
*Reported returns are cumulative and do not take into consideration any performance fees.
Strategic Highlights:
The extreme volatility in crypto currency prices in the middle of Q2 2022 has stood in the way of The Fund’s previous result-oriented investment strategy. Therefore, the Fund managers' decided to convert all stablecoins to USDC and adopt a pure delta-neutral investment strategy.
The fund managers had performed twice, once in Nov 2021 and once in January 2022, a security audit of the Terra Luna ecosystem , and found inconsistencies with the Anchor lending protocol, the balancing algorithm of the UST stablecoins, and potential risks with the collaterization. Therefore, the fund had never invested, nor did have any positions or exposure to UST or LUNA at any given time.
Towards the end of Q2 2022, the Fund managers's adopted a wait and see approach before making any decisions to deploy funds to various protocols until the whole market calms down. We are currently monitoring the current situation in order to limit any losses and to protect investor funds.
The Fund's current strategy is to survive, remain completely solvent, and unaffected by the worst crypto market turmoil in its entire history.
Going Forward:
Finexify will adopt a market-neutral investment strategy going forward to Q3 2022 and beyond. The Fund's performance should not be affected by the underlying asset prices and further market volatility, if any.
By adopting this tailor specific market-neutral strategy, the returns will be significantly reduced for the sake of security, loss prevention, and protection of investor funds.
We have achieved a 16-month track record showing that our investment strategy is resilient in the worst market conditions ever imagined.
According to the current state of the crypto market and the increased adoption in the Decentralized Finance (DeFi) space, we are looking to sustain a profitability at a range of 10-15% APY going forward.
If you are interested in joining our fund, do not hesitate to contact us at investment@finexify.com or via our contact form. Deposits in Ethereum and Stablecoins (USDT, USDC, and DAI) are accepted. If you do not currently own cryptocurrencies, we can guide you through the process of obtaining them.
Disclaimer:
Decentralized Finance is an emerging space with multiple risks. Do your own due diligence. Before investing, read the "Risk Disclosure".
About Finexify
Finexify is a boutique investment firm that provides one of a kind opportunity to get into and profit from the Decentralized Finance (DeFi) space – the most promising and complicated space of the blockchain industry
The limited access to DeFi means extraordinary alpha with limited exposure to the cryptocurrency market volatility. Reserved only for the most crypto- and tech-savvy, the team of experts is more than prepared to exploit this profit opportunity for its investors.