The asset management industry stands as one of the most significant pillars within the global financial sectors. Its remarkable success has captured the attention of blockchain developers, who are now exploring innovative ways to integrate it on-chain.
Their goal is to create a strong asset management category within DeFi, opening up new opportunities for growth and development.
By transitioning asset management to the blockchain, investors and managers can enjoy various advantages. These include the automation of operational tasks, complete transparency, and access to a 24/7 open market. Such advancements are set to revolutionize the traditional financial industry's bureaucratic processes.
What is Kassandra Finance?
Kassandra is a decentralized autonomous organization (DAO) asset management platform that streamlines the process of creating and investing in tokenized portfolios. By leveraging Balancer's Managed Pools, it offers a distinct approach compared to other asset management platforms.
Kassandra's tokenized portfolios function in a manner similar to Balancer Pools, allowing for seamless allocation changes, asset additions, and removals. The platform's primary goal is to simplify decentralized asset management by eliminating unnecessary complexities while maintaining high efficiency.
When managers create their pools, they become available for others to invest in if set as public. Managers can adjust allocation percentages, and investors can easily find suitable investment options.
For safety reasons, managers can only add tokens from a whitelist approved by the DAO. This prevents any malicious intent or scams from being added to portfolios for pump-and-dump schemes.
Managers can earn three types of fees on Kassandra:
Deposit Fee: A fee charged during the deposit process.
Management Fee: This fee is charged for the active management of a portfolio. It's important to note that Kassandra retains a portion of this fee, which is then allocated to the platform's Treasury.
Withdrawal Fee (Only available on Avalanche Pools): A fee paid during the withdrawal process.
Bonus: Referral Commission
In addition to their primary options, managers can enable a Referral Commission feature, empowering brokers to assist them in attracting new investors. When a new investor discovers a pool through a referral, the deposit fee is dynamically divided between the broker and the manager, as agreed upon during the pool's creation process. This incentivizes brokers to actively engage in finding potential investors, while managers benefit from an increased pool size and potential growth facilitated by their broker partnerships.
Managers have the flexibility to adjust the percentage of each type of fee when creating a tokenized portfolio. This allows them to find the optimal balance that aligns with their strategy and potential investors.
What is KACY?
KACY serves as the platform's native utility token. It plays a crucial role in voting on governance proposals, including the selection of whitelisted tokens, and provides incentives for farm pools within the protocol.
As of July 21, 2023, KACY's Market Capitalization is approximately U$164,000, and its Fully Diluted Valuation (FDV) is around U$673,500. Currently, the token is available for trading on Pangolin and Balancer, which operate on the Avalanche and Polygon blockchains, respectively.
KACY's LockVote Feature
To exercise voting rights on Kassandra, stakeholders must stake their KACY tokens, thereby earning voting power. There are three options available for stakers:
No withdrawal delay: Opting for this choice allows users to stake and withdraw their tokens at any time. While this option carries less risk, it provides a lower interest rate and grants a 1:1 Voting Power based on the amount of KACY staked.
15-day withdrawal delay: By selecting this option, users commit to a 15-day lock period before being able to withdraw their tokens. In return, each KACY staked carries a higher weight of 2 Voting Power, granting stronger influence and higher interest rates to those willing to lock their tokens for an extended duration.
45-day withdrawal delay: This option imposes a 45-day lock period, preventing users from withdrawing their tokens until the period elapses. In exchange, each staked KACY token represents a weight of 3 Voting Power, amplifying the voting influence and interest rate of users who choose to lock their tokens for an extended period.
By offering these withdrawal delay options, Kassandra incentivizes stakeholders to actively engage in governance decisions while rewarding those who commit to longer lock periods with increased voting power.
Initially, KACY was designed to have a maximum supply of 10,000,000 tokens. However, during the ICO phase, a strategic decision was made to burn 400,000 tokens, effectively reducing the total supply to 9,600,000 tokens.
The distribution of the tokens is the following:
Also, here’s a chart showing the release schedule of KACY Tokens throughout 3 years.
Considering KACY's low market cap, investing in it carries a higher inherent risk. If you're someone who’s willing to take risks or seeking to diversify your portfolio with potentially higher returns, it could be a suitable choice for you.
As mentioned earlier, you can acquire KACY through Pangolin and Balancer. Additionally, exposure to KACY is available through several of Kassandra's managed pools, including the Avalanche Social Index, Polygon Social Index, and various other community pools.
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