Bloq, led by Jeff Garzik, is launching a new product for investing in decentralized finance (DeFi) projects through crypto asset staking.
The new Bloq platform called Vesper is positioned as an easy-to-use tool for DeFi products. Through Vesper, users will be able to block ETH, wbtc or USDC for staking from mid-November, using one of the “storage pools”.
Bloq co-founder, former Bitcoin Core developer Jeff Garzik, said that after depositing crypto assets, users can choose the level of risk of staking for profit – aggressive or conservative. According to Garzik, among the DeFi protocols with a conservative level of risk are the well-known Aave and Compound applications. With an aggressive approach, the platform will invest crypto assets in less well-known projects.
“We are all tired of ‘farming’ and dumping,” said Jeff Garzik at the CoinDesk invest: Ethereum economy conference. “There must be a market to convert these risky and often negligent investments into more professional operations.”
From mid-November, Vesper will only offer pools with a conservative staking strategy. However, Bloq said it plans to add other investment strategies and crypto assets to the platform in the future. Vesper is supported by its own VSPR token, which will be used to distribute rewards to users and developers.
While initial investment strategies will be developed by the platform team, Vesper will also offer strategies from developers who can earn rewards in VSPR if their proposal is accepted by the community. The platform will charge users 5% of the profits received from staking their crypto assets, and 1% for withdrawing money from”storage pools”.
“It’s a simple product with passive income,” Garzik said. According to him, the Vesper approach is somewhat similar to the strategy followed by ETFs, where the comprehensive verification of the investment product is mainly performed by the issuer.
More and more companies are seeking to enter the DeFi industry amid its growing popularity. This week, corporate fintech platform COTI developed a
decentralized Cryptocurrency Market Volatility Index (cvix) to help investors assess the industry’s risks.