After weeks of preparation, we are excited to announce the release of our Lite Paper. This document provides a general overview of our platform and identifies the market we are disrupting. We hope this will arm community members with sufficient knowledge about who we are and why what we are doing is so important. Since a market price is purely a reflection of the aggregate information across all shareholders, we believe an ETF should not be only managed by quants and algorithms, but also by the collective consensus across all stakeholders.
The crypto asset class is still in its infancy, lacking many of the complex financial instruments that define more mature asset groups. Consequently, crypto investments are subject to extreme volatility and are thus unattractive to risk-averse investors like traditional institutions and corporations. Their entrance into the crypto asset class will create an inflow of trillions of dollars, which makes for a sizable bounty for whoever can provide a vehicle to these investors. These institutions cannot withstand the 50% drops that more adventurous investors endure, nor can they predict the opportunity cost of 500% gains on adjacent tokens. To calm these waters, HAI DAMO creates on-chain ETFs that mitigate risk while providing optimal exposure to various crypto assets. ETFs are viewed ubiquitously as a signal of maturity in markets, it is the lack thereof that we are solving. By providing safer investment vehicles to less risk-tolerant players, HAI DAMO has the potential to claim a piece of the trillion-dollar bounty while legitimizing cryptocurrency assets across the entire ecosystem.
Lite Paper: https://haidamo.finance/lite-paper