Trading Strategies

Each vault strategy employs a different trading strategy to capitalize on diverse market inefficiencies and expose funds to varying degrees of risk/reward potential.

All strategies adopt the same theoretical principles:

• Identify drivers of market change;

• Build signals that capture those drivers;

• Turn those signals into positions;

• Risk-manage the positions.

Quantitative signals are generated from QV-Lab machine learning/modeling expertise. Human traders then filter and structure them qualitatively to extract optionality/exposure at a discount given the inelastic behaviors of end users of options (e.g., convenience yield/barriers to entry). Thus, D2.Finance operates a hybrid model combining quantitative and qualitative inputs.

D2.Finance applies sophisticated risk management procedures that consider ETH's price, size, volatility, liquidity, and inter-relationships with other crypto assets to provide risk adjusted returns.

Standard Strategy Fees: 2% Management, 20% Performance

APRs displayed on D2.Finance front end are net of fees