Inverse Finance - a protocol that offers passive investments without losses, following the strategy of leveraging stablecoin yields, starting from ETH.
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How does Inverse Finance work?
Users invest Dai and receive a storage token at a 1: 1 ratio. The store invests Dai in a yield optimization protocol like Yearn.
To make this strategy worthwhile, the resulting returns must be high enough to build a significant ETH position over time. The advantages of the company are as follows:
| Storage | Savings in gas fees because the storage converts the income of all users at the same time, rather than one transaction for each user. |
| Using | The second benefit - it allows you to follow the Dollar-Cost Averaging investment strategy in the target token (like ETH), using your stablecoin yield over a long period of time. |
Inverse.finance's main products are Anchor, DOLA and DCA Vaults. Anchor - a money market and synthetic asset protocol that enables efficient borrowing and lending. DOLA - a stablecoin token that tracks the $ 1 price. DCA Vaults allow you to invest your tokens in profitability strategies by continuously buying an asset of your choice with revenue, allowing you to convert the Average Dollar Value (DCA) over time to an asset such as ETH, WBTC or YFI.
Additional information
The platform is starting to gain momentum. Its future will be determined by the participants and the early community. The immediate next step - to launch more vaults to invest in other tokens passively. If you would like to help to shape the future of the protocol, please visit the following links:
Inverse Finance's DCA vault protocol allows users to deposit stablecoins and generate income that can help to invest in more volatile assets such as ETH or WBTC. This is achieved by aggregating the deposited stablecoins of users into a vault such as a yDAI vault, then the custodian collects the revenue each day and exchanges the stablecoin yield for the target asset via Uniswap.