Cayman Island-based fund manager, the Panxora Group, has announced that it will start accepting subscriptions for the launch of a quantitative hedge fund designed to generate profits from the rapidly growing decentralised finance (DeFi) market.
As previously reported by Coin Rivet, the DeFi market has exploded over the past few months with tokens like YFI surging from $300 to $43,000 amid a wave of buyers on decentralised exchanges like Uniswap.
Panxora hopes to give investors exposure to the DeFi market, with trading set to begin on Monday, November 2.
It also hopes to manage volatility using its AI trading software, which is designed to give equal weight to profit generation and capital capital preservation.
— Panxora (@PanxoraCrypto) September 16, 2020
Gavin Smith, Managing Partner at Panxora Hedge Funds, said: “While the DeFi market has grown significantly this year, we believe that this market is in the earliest possible stages. As the benefits to consumers start to be recognised, the potential is so great that what we are experiencing now is just the first of many dynamic moves upwards over coming months and years.”
“The appeal of DeFi is that decentralised applications or ‘dApps’ run on the blockchain allowing participants to transact business independent of a central authority that has traditionally extracted what can be multiple layers of profit from each transaction. Smart contracts can underpin loans, trading, insurance, interest bearing savings accounts, and more.
“These person-to-person transactions could have a profound impact on global financial services – bringing real-world assets onto the blockchain and facilitating the transfer of trillions of dollars of assets including precious metals and fiat currencies, free from huge intermediary fees.”
Marcie Terman, COO at Panxora, added: “This fund is meant for people that want exposure to DeFi but lack the resources to research this very specialist market themselves.”
Disclaimer: The views and opinions expressed by the author should not be considered as financial advice. We do not give advice on financial products.