We are glad to present you our fourth October Investment Report. The information in this report is stated as of October 31, 2022. In order to effectively navigate the crypto and DeFi spaces, Midas continues to rapidly navigate the market, especially with respect to our investment structure, risk frameworks and investment strategies. Thus, the information in this report may be outdated by the time of its publishing.
The month of October marked a three-year low with respect to the volatility of the crypto market. While the market remained relatively quiet, Midas’ investment team has kept its foot on the gas by building out new products, connecting with industry experts and exploring additional opportunities for yield generation.
Our core yield positions were fully deployed, providing us with greater flexibility to reduce capital in low-yield positions, such as Convex pools. Midas’ core yield generator over the last few months is the GLP index pool of the GMX protocol, where our team increased its allocation based on our additional monitoring systems and quantitative research.
Another impressive yield-bearing position is our hedged trend strategy, which also received more capital allocation for the month. This position allowed us to enter yield farming in the CRV and CVX directional pools while we hedged to the downside by shorting ETH during an overall weak market.
Additionally, we continue researching for the buildout of new CeDeFi strategies, which includes optimising the Soft Long ETH (“SLETH”) strategy, calculating a methodology for building a crypto index as a separate product and introducing algorithmic strategies.
Our goals for November 2022 include:
- expanding our due diligence of the ETH staking market, which will become the base layer for yield generation
- bootstrapping a new model of algorithmic quant risk frameworks
- building products on top of Uniswap 3
- launching additional CeDeFi strategies
- developing our partnership network across top DeFi protocols which best complement Midas’ use cases
November Rates Update
Sharing our portfolio structure on a regular basis provides insights into how we make investment decisions while also supporting and substantiating how and why we adjust yield rates for fixed yield products which are based on the current market conditions and our risk policy.
On the 10th of November, we plan to adjust the interest rates for Fixed Yield products based on the 2-month average yield performance of the Midas portfolio. For more information, click on the button below and read our October Investment Report.
In addition, last week we released a new Midas Boost structure consisting of five tiers: Basic, Bronze, Silver, Gold, and Diamond. Below you can find information on how the rates will change depending on the tier of your Midas Boost.
