Defining the Strategy

Decentralized communities and sharks come to Indentura in order to pool capital for blockchain-based yield-bearing strategies. Strategies have the below core components:

• Funding token - The token that whales deposit into the pool.
• Funding blockchain - The blockchain network on which the pool receives deposits from whales.
• Maximum Pool Size - The maximum amount of funding tokens that can be deposited in the pool
• Minimum Deposit Amount - The minimum amount of funding tokens that a Whale has to deposit in order to participate in the pool
• Target yield - The estimated yield of the strategy, expressed as APR, or annualized return rate.

For new pools the maximum pool size will be capped at $100,000 or equivalent in USDC. Once pools show prolonged performance, pool size can be expanded via approval by governance members.

In addition, Indentura pool strategies have defined pool parameters including eligibility criteria, portfolio concentration limits, early amortization triggers, and minimum shark portfolio percentages. Pool parameters may specify the following:

• The venues (protocols and platforms) which funds can be deployed into.
• The tokenized assets which funds can be used to acquire.
• The maximum and minimum prices, interest rates, and durations for bids for tokenized lending, derivatives and spot markets.
• The blockchain networks which can be funds can be deployed into.

Approving Pool Parameters

Whales, sharks, and agents review pool parameters and propose them for vote on DAO governance forums such as Aragon and Realms. Once pool parameters are approved, Indentura pools can be launched. DAO governance forums are also used to propose and approve any updates to pool parameters.

Pool Strategy Page