Decentralized finance (DeFi) has emerged as a safer alternative to centralized exchanges (CEXs) in the cryptocurrency investment space. With the decline in public trust in CEXs due to high-profile collapses, users are increasingly turning to DeFi, where they retain custody of their funds. However, the highly fragmented nature of the DeFi ecosystem has hindered widespread adoption. With thousands of protocols across various chains, it can be challenging for even experienced investors to navigate and develop comprehensive strategies without significant time and resources.
To address this issue, Velvet Capital, a DeFi asset management platform, has introduced an innovative solution. The platform aims to simplify DeFi portfolio management by enabling users to set up advanced DeFi strategies in minutes. It offers crypto users, traders, asset managers, and fintech projects the ability to launch tokenized funds and other DeFi products. Initially operating on BNB Chain, Velvet Capital has expanded to Arbitrum, an Ethereum layer-2 blockchain, to cover a wider range of DeFi space.
Velvet Capital functions as a “DeFi operating system” for asset management, providing an easy way to create a DeFi vault. A DeFi vault is a smart contract on the blockchain that manages users’ funds based on predefined strategies to maximize returns. The platform automates the process of earning yield on digital assets through various methods like staking, liquidity provision, and yield farming strategies.
One of the key features of Velvet Capital is its Intent-Based Trade Execution, which ensures optimal liquidity and capital efficiency for users. The smart order routing feature finds the best routes for trades by sending trade orders to a variety of integrated decentralized exchanges (DEXs), automated market makers (AMMs), and market makers. This allows users to optimize gas fees and token prices when trading on Velvet Capital.
Creating a vault on Velvet Capital is a straightforward process. Users can enter the vault creation module and deploy noncustodial or multisig tokenized vaults with a single click. They can choose the crypto assets they want to include and fill in basic vault parameters such as name, allowed deposit range, and percentage for management and fees.
In addition to individual users, Velvet Capital also caters to business users, including fintech projects and traditional asset managers. The platform offers a simplified way for these institutions to enter the DeFi space. They can either use the web application to launch their vaults or opt for Velvet Capital’s white-label solution, which provides additional benefits such as assistance in adding custom assets, including real-world assets.
Velvet Capital provides a packed DeFi experience with its advanced features and user-friendly design. Users can easily sign in to the platform from a range of Web3 wallets, such as MetaMask, Coinbase, Binance, or OKX. The dashboard displays the Marketplace, where users can find curated vaults ranked by total value locked (TVL), annual percentage yield (APY), or estimated returns. Creating a vault feels as easy as filling out a Google form, and users can track the performance and yields of their vaults under the My Portfolio tab.
The platform’s support for Arbitrum expands the available digital assets to include those from Ethereum and BNB Chain, two of the top DeFi networks. Velvet Capital aims to become a one-stop-shop for DeFi investors, offering an omnichain infrastructure and new integrations to help users navigate the market and find the best opportunities.
Disclaimer: This article is sponsored content. Readers should conduct their own research before making any investment decisions and bear full responsibility for their choices.