Earnpark is a liquidity provider that maximizes profitability by developing, automating, and algorithmizing its own strategies in the CeFi and DeFi markets.
- 1.DeFi yield strategies, such as automated concentrated liquidity providing on Uniswap V3,
- 2.Token-incentivized liquidity pools,
- 3.Lending strategies,
- 4.Yield-bearing assets,
- 5.Market Maker strategies, and more.
- Annualized percentage rate (APR). 30% – 50% APR
- Risks. Low. Non-standard market behavior, a low-active market that results in the arbitrage strategy earning less.
- Hedge. In this case, the maximum daily loss amounts to -0.05% followed by the strategy suspension. The loss is compensated by the previous positive days. Limitation. The strategy is limited by the amount of liquidity that can be put into circulation while maintaining profitability. The limitation decreases with the growth of the market and liquidity in the market.
We provide concentrated liquidity for two assets in a chosen price range (e.g. ±5%). Check out an example over here. The smaller the price range, the more fees are earned. If the price goes beyond the custom range, the liquidity is swapped to the asset.
- Annualized percentage rate (APR). 50% – 90% APR
- Risks. Medium. Impermanent loss: the extensive growth of one asset will lead to decreased amount of target assets.
- Hedge. We hedge risks through an additional liquidity fund, equalizing the ratio of the number of assets to the original one. It decreases return by 30% but negates the main risk.
The combination of strategies leads to reaching up to 30% APR. Part of these returns is used to negate major risks. For example, token price decreases when using DeFi tools, resulting in lower yields.
Profitability may vary from month to month, given the market conditions. However, we try to keep the profitability as high and stable as possible for our clients. Over the past 2 years, it has not fallen below 15%. Even more so, we haven’t had a single unprofitable month since the launch in October 2019.
We create strategies with various risk profiles that provide one of the best returns on the market. We do this by diversifying instruments, proprietary software, and algorithmic trading methodologies.
Profitability always correlates with risk. We do not claim to be risk-free, but in terms of strategy, we try to mitigate the risk to the maximum. As a user, you will are basically passing the crypto risk onto us by betting that we can handle risks better than the average crypto investor. Our investment team consists of experts who are constantly developing, testing, managing positions, and looking for new opportunities.