Why Arcadia?

Decentralized finance (DeFi) has come a long way since DeFi summer. New protocols have been created and new asset standards have been introduced.

Yet, the ways to earn yield on-chain have not changed. Today, finding, accessing, and managing yield is a complex and manual process. Browsing, analyzing, swapping, depositing, borrowing, staking, claiming and withdrawing are steps often isolated from each other and performed manually over multiple UIs.

Arcadia recognizes that most users are still looking to generate the highest return for their assets, but the ways in which they can do so has changed and current products have not adapted to this new reality. Existing products implement basic strategies by simply depositing users’ capital into a specific pool that become obsolete once the market changes. In most cases, all user funds are pooled into the same strategy or vault smart contract and therefore users are limited to generic configurations set by the vault manager. What’s worse, the whole process remains not very personalized and mostly focus on the ERC-20 asset standard, limiting the number of yield strategies available to regular users.

We think the yield landscape is in need of an upgrade. Yield opportunities should be personalized to each individual user preference and constraint. After all, every DeFi user is unique, with different risk profiles and investment objectives. Yield strategies should be flexible and not limited by asset standards. They should take advantage of composability, automatically shifting user funds through various protocols in the most capital efficient way. Rebalancing should occur dynamically and frequently to make sure the user is always finding the best yield available. All these should be simple to access and easy to execute in as few transactions as possible while remaining non-custodial and decentralized.

Last updated