Gone are the days when decentralized finance (DeFi) was a niche for crypto frontrunners, while centralized finance (CeFi) was the absolute owner of users’ trust. Following the collapse of major centralized organizations within the industry, such as FTX, Prime Trust, and Celsius, among others, the user base — from traders to asset managers — realized the importance of self-custody and started looking for advanced services within the DeFi space.
Backed by Binance Labs, Velvet Capital offers an infrastructure for digital asset management to be done fully on-chain and eliminates/minimizes the barriers to entry for emerging fund managers, allowing people from all expertise levels to create and manage on-chain funds and structured products with minimal effort.
A Statista report shows that DeFi usage grew from less than 1,000 users in 2017 to over 6 million in January 2023, highlighting a significant inflow to the DeFi ecosystem.
The number of unique addresses that entered the DeFi space grew exponentially between 2019 and 2023. Source: Statista
Serving as a cross-chain DeFi asset management operating system, Velvet Capital is integrated with major DeFi protocols, like Chainlink, Safe, 0x, 1inch and PancakeSwap, enabling asset managers, banks, fintech companies and traders to trade on-chain and leverage its DeFi-as-a-Service offerings. With this model, Velvet provides capabilities to launch and manage DeFi funds with ease.
Advanced DeFi tools for asset managers
Velvet’s DeFi-as-a-Service model helps launch a tokenized fund or strategy product while executing fully on-chain. Through Velvet Capital’s smart routing and yield farming integrations, users can also increase the capital efficiency of their portfolio.
In response to the growing demand for decentralized alternatives, Velvet Capital is the latest participant in the Cointelegraph Accelerator program. By joining the program, Velvet aims to bring easy access to digital asset management for everyone.
Velvet enables cross-chain DeFi operations for asset managers. Source: Velvet Capital
Functional across different blockchain networks, Velvet enables complex strategies across multiple ecosystems with omni-chain portfolio management with automated tokenization, smart yield farming and seamless integration. Institutional funds and asset managers can access their portfolio data in real-time with Velvet’s white-label client portal.
Shaping the future of DeFi-as-a-Service
To achieve true decentralization, Velvet Capital aims to thrive as a community-managed protocol under the banner of a decentralized autonomous organization (DAO) named Velvet DAO. Participants of Velvet DAO will be able to use VLVT, the upcoming native governance token of the network, to have a say in votes and decision-making processes following the token launch and airdrop. Native tokens will be distributed to users based on the total value locked in their accounts and the time spent on the platform.
DeFi users who want to participate in the genesis of Velvet DAO can get whitelisted for a Velvet Founders NFT to secure a place within the DAO and obtain rights to shape the future of the DeFi-as-a-Service protocol by using the exclusive invite code Cointelegraph23.
Cointelegraph launched its Accelerator program in early 2023 to act as a catalyst for developing Web3 startups and products. Cointelegraph Accelerator leverages the media giant’s vast resources to equip partners with must-have tools for the Web3 environment, such as advertising and media coverage, workshops with field experts, network introductions, participation spots in the most significant crypto events and the development of marketing strategies.
Velvet has set its sights on bringing the next wave of users to DeFi with Cointelegraph Accelerator’s far-reaching media exposure toolkit tailored for the Web3 space. Through this partnership, Velvet will reach a much wider audience with more eyes set on its DeFi asset management operating system that makes DeFi trading simpler.