A brief introduction to the protocol
insrt finance is a protocol for accessing returns from non-fungible digital assets. Using the protocol, users can deploy their assets to a variety of set-and-forget strategies (Vaults) that provide users with returns. Strategies are managed programmatically with built-in risk management mechanisms.
Our mission is to build a decentralized intermediary for non-fungible digital assets, which will form the core of Metaverse capital markets. Our initial vault category is the ShardVault.
- NFT finance primitives are very complex to use for the broader retail audience
- Building automated strategies on primitives is time-consuming
- Treasuries have no easy way to utilize their NFT assets
- Non-bluechip holders cannot access most NFTfi infrastructure
- High fragmentation of the space
- Easily accessible set-and-forget strategies
- Strategies leverage and simplify the best NFT financial infrastructure
- DAO members build strategies on top of the protocol base layer
- End-to-end P&L and risk-management
- Infrastructure to enhance yield and bring more liquidity to metaverse cap markets
The protocol has two primary actors - users and strategists. Users interact with the protocol to obtain returns from a particular strategy. Users can be:
- NFT holders who want to make their NFTs generate a passive return stream🧑
- Speculators who want to generate returns off our strategies🤠
- Treasuries who hold NFTs as assets or want exposure to non-fungible assets👪
Users interact with Vaults. A Vault is a set-and-forget strategy that a user can deposit assets into. Some vaults support fungible assets (such as ETH), non-fungible assets (such as a CryptoPunk), or both. Each Vault uses one or multiple wrappers, which are contract-level integrations with NFT infrastructure.
Vaults can be divided into vault categories. Within a category, vaults may share underlying infrastructure while differing in terms of P&L or the nature of the underlying assets held by the vault. For example, ShardVaults all share the same core mechanics, but utilize different wrappers for modifying the strategy (different lending mechanisms, different return generation mechanisms or appraisal mechanisms).
More information about the Vault / Wrapper architecture can be found in the Protocol Overview.