DeFi will continue to blow our minds! The innovation coming out of this market is so impressive in every sense of the word. It is interesting how these new projects are tapping into Decentralized Ledger Technology (DLT) to create financial instruments for human advancement.
Betoken is a digital assets investment fund operating in an outstanding decentralized environment on top of Ethereum, Kyber, Compound, Fulcrum, and MakerDAO’s DAI. The process is entirely open to everyone who cares to be a part of the community.
All the designs run via smart contracts with the liquidity pool ensured on-chain by Kyber Network protocol. The native utility token is Kairo. You can join the Betoken ecosystem as an investor or a manager and earn commissions. The team believes in transforming the way we invest in Cryptocurrencies while providing job opportunities to professional Crypto traders.
As an open-source, crowd-powered, crypto-assets platform, their goal is to connect capital and talent. Using a meritocratic arrangement, it guarantees managers with the most satisfying past accomplishments are managing the most funds and receives the higher commissions.
Betoken, according to their founder, Zefrom Lou, their long term intention is to explore further the intersection between DeFi and DAOs. Their final intent is to create a vigorous crypto-native economy that is permissionless, borderless, and composable.
Betoken investment cycle
Betoken has something called investment cycles split into two phases as Intermission and Management. Under the former, which lasts for three days, Users are allowed to withdraw and deposit funds.
The same phase also allows managers of funds to claim their commission. It is insightful to note that the commission is in the native currency of Betoken, known as Kairo tokens (KRO).
With the Management Cycle, Managers have the opportunity to stake Kairo as a form of investment for the fund. Unlike intermission, the period of the cycle is 27 days. However, a full Betoken investment cycle lasts for 30 days.
How To Deposit And Withdraw Capital
Since Betokens runs wholly as a decentralized outfit, it works through non-custodial wallets. Therefore, before getting on board, you need to connect your ERC-20 wallet. Aside Ether, there are over 70 approved ERC-20 tokens used for investment on the platform. The system has set down rules for withdrawals and deposits.
There is what is called Redemptions, which occurs every 27 days, and withdrawals contract no fees. Investors are notified when they can make deposits and withdraw with three days grace period. When your wallet is connected to Betoken, the deposit is turned into Betoken Share tokens (BTKS). That symbolizes your stake in the fund, which is fully backed by security in the Smart Contract.
Every BTKS works as a tokenized holdings, carrying the underlying tokens that the managers buy and sell. It takes a few minutes to receive the BTKS in your wallet after purchasing and the Ethereum Blockchain accepting it.
After every management stage, which is each 27 days, whether the fund accrues income or not, 0.1 of the cumulative Betoken funds is placed away and shared among fund managers who hold Kairo. This is to contribute towards funding for maintenance and eventual development.
Also, the protocol mints Betoken Shares of 0.1 percent and transfer them to the development team. It is always a percentage of the prevailing Betoken Shares of total supply transpiring after an investment cycle.
However, if the fund makes profits, 20 percent of the entire monthly profits is for managers holding KRO equal to the amount the hold and its associating risk as commission.
Becoming A Manager And Guidelines
It is easy to become a fund manager on Betoken. All one has to do is to sign up and link your ERC-20 wallet. Again, you need ETH or the You’ll 70+ supported ERC-20 tokens to purchase Kairo tokens.
In place are incentive structures to make sure that fund managers work hard and do the right things to make money for investors. For instance, a manager who incurs losses less than 10 percent forfeits the usual amount of Kairos.
Then 10 percent of investment declines attract much Kairo while the losses go further. More so, portfolios that encounter failures beyond 25 percent, the managers succumb all of the staked Kairo, prompting what is called a 100 percent KRO to redeem.
Telegram Betoken says don’t trust their words but their codes, so head to their Github.