Introduction

To realize DeFi potential we need a professional-grade toolkit

We expect ~$8-19T in assets (both web3-native & real-world) to be on-chain in the near future. Thereโ€™s a strong need to use on-chain financial rails to manage these assets, and many professional investors & traders are already exploring DeFi.

So, whatโ€™s stopping the adoption?

We have worked with 150+ crypto hedge funds, traders, digital asset managers & other professional investors to understand their pain points preventing them from using a fully on-chain infrastructure:

  1. Lack of liquidity depth on AMMs vs. CEXes or OTC for large- & mid-cap tokens

  2. Need for custom integrations with each of the DeFi protocols, which can take months/years and $millions spent on engineering & security audits

  3. Challenges in creating automated trading strategies in DeFi vs. building an algo on top of CEX APIs

  4. No native sub-account/managed-account logic in DeFi, which means you need to either take full custody, have a shared multisig or use rigid non-custodial vaults

  5. Unclear how to manage regulatory and compliance requirements for on-chain interactions

  6. Lack of reliable omni-chain infrastructure makes CEXes still a preferred option for cross-chain trading, even for crypto-native funds

  7. Lack of on-chain derivatives forces the use of CEXes for hedging & delta-neutral strategies

  8. Complex & siloed RWA platforms that lack liquidity provide little benefit for managing real world assets on-chain

While DeFi infrastructure is maturing across the board, it still lacks the comprehensive, institutional-grade tooling that is suitable for professional investors & traders.

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