What is Zomma | Veta?
Z | V is a long and synthetic short crypto yield portfolio designed to exploit volatility while maintaining a market neutral outlook. The name stems from traditional option Greeks which are extrapolated out and applied to crypto pairs. Established March 2021.
By establishing micro positions across a host of yield parings, the fund is able to efficiently optimize performance hourly and rebalance the portfolio to ensure the highest APY possible. Earnings across all invested chains are compounded 8 times a day. Cluster pairs are selected and balanced to establish inverse relations to ensure the portfolio tends towards market neutral.
A percentage of yield returns are reinvested through liquidity pairings which are rebalanced weekly. Liquidity pairs include large and small cap projects with particular focus on level 2 chains. Initial capital deployed is quickly removed and added to additional pools to allow for more diversification and risk managment. The profits are allowed to compound.
Direct DeFi Investments
With the emerging decentralized finance landscape, the fund incorporates direct investments into several promising startup projects with a 1-3 year timeframe. Both farming and pooling are also used within the ecosystem to hedge these investments while also allowing for unit multiplication. Profits are compounded weekly and are targeted at a >45% yearly return.
With up to 75% of the fund positioned towards a market neutral approach, bouts of volatility and market uncertainty are well tolerated. Synthetic shorts through leveraged stable/asset pairings are opened and closed regularly in periods of market decline to hedge long positions.
Lending Large Cap Assets
A portion of long-term large cap holdings are lent out weekly at a targeted annualized rate of >6% and reinvested to grow the stake. We are also developing our own nodes to expand network capabilities while charging competitive staking fees which are used to expand holdings.
Fund specific bots and arbitrage grids are deployed to trade assets both inter and cross chain to take advantage of pricing inequalities and liquidity issues. Profits are reinvested and compounded in prior mentioned yield farms as well as adding collateral to leveraged synthetic short positions.
- Inception to Date Performance 38% 38%