Press Release
DefHold’s Whaleclub: Merging Functionalities to Solve All Investor’s Problems
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As crypto’s top solution provider, DefHold aims to implement new technologies and features in the crypto space to ensure all investors benefit highly from investment. One such solution is the WhaleClub, which aims to aid large or small investors in actively influencing their profits and their tokens’ value.
To provide the WhaleClub service, DefHold will leverage some traditional financial products dubbed Special Purpose Acquisition Company (SPAC) to offer increased buying power. Moreso, since it’s a crypto product, WhaleClub will leverage some blockchain features like decentralization to ensure the functioning of the platform.
But how will Whaleclub function? What are the benefits of using this soon to unveil platform? Keep reading to find out more about this new DefHold Product.
How will the Whale Club Function?
Foremost, every interested party must invest some amount in the vaults, either USDT or USDC. The initial investment will buy underlying assets for profitable investment options.
The user then pays some amount of entrance fee in DEFO tokens; the fee is 5% of the user’s investment amount. For instance, a person whose investment is 1000 USD will pay 5% of 1000, i.e., 50 US dollars.
Once launched, all vaults will freely accept investors’ contributions for a pre-defined maximum period of 48 hours, after which they automatically close. Here is an outline of the three main vaults and the minimum investment values for each vault;
- Small-cap vault has a minimum investment value of 1000 US dollars, and minimum UniSwap liquidity of projects therein being 100,000 US dollars.
- The mid-cap vault has a minimum allowed investment of 6000 US dollars and a minimum market capitalization value of projects therein standing at 500,000 US dollars.
- For the large investors, there is a large-cap vault with a minimum investment value of 15,000 US dollars and a minimum market capitalization of the project invested in being 1 million US dollars.
Note, the entry fees as aforementioned into any of these vaults will be a minimum of 5% of the value invested. As the investment value increases, so will the entry charges.
Equality and Decentralization of Governance
Upon the end of the contribution period, investors will receive new secondary tokens, with attributes almost similar to liquidity provider tokens. These tokens represent the investors’ share in the vault, thus, there will be a completely decentralized governance.
Since each vault will have a private area, immediately after receiving the secondary tokens, investors will have direct access to this private area. Access to the private area means the investor can propose projects for investing the vault’s assets. The maximum period for proposing projects is predetermined at 72 hours after which, a 24 hour voting period begins.
In the voting period, investors will vote for the project of their choice, with each secondary token representing a single vote. A project that manages to garner the maximum number of votes will earn the investments.
Immediately after selecting the project to invest in, an investment and divestment period is divided into voting stages. For instance, the buy transactions are in three steps, with each of them requiring at least 50% of the vote to move to complete.
Each step will be worth around a third of the TVL, and when they reach the threshold, the vault automatically uses the USDC or USDT to buy the investment assets. Similarly, the sell action also uses the three stages, and on hitting the threshold, they will automatically sell.
All investors get a share of the investment profits made. 5% of the profits here will buy back DEFO, and 95% of profits made from these DEFO buybacks will go to the farmers, and 5% to developer funds. 95% of the profits from the initial investment is distributed to investors on a share basis.
Benefits of the WhaleClub
Perhaps small investors will be the biggest beneficiaries of this platform since they will enjoy the whale experience and buy-in large sums just like whales.
Unlike in most platforms where whales can easily manipulate the market by dumping tokens, in the Whaleclub, the platform will sell the small inverter tokens when whales sell theirs. The automatic process ensures there is no chance of market manipulation.
Because of decentralized governance in motion, everyone will freely propose investment projects and vote for attractive investment options.
The smart contracts use means the system is autonomous; thus, no need for employees. Cutting labor which essentially leads to lower costs.
Whales, too, will benefit from buying in large pools, thus increased purchasing power. Due to the many participants in the vaults, whales will note and explore other projects from other investors.
Conclusion
Although decentralized finance is lucrative, it still remains a risky game. However, the new Whaleclub from DefHold will provide top solutions to investors from all classes, enabling them maximize profits in the crypto industry. The platform’s governance fosters full decentralization, thus equality for everyone. Every investor will benefit financially and from the experience of other investors in exploring opportunities.
This platform also introduces an anti-manipulation feature to protect all of its users from small traders to large scale investors. The host platform DefHold also has its advantages of being a non-inflationary platform, thus providing top security for all investments. The platform is launching on the 24th of December and investors should watch out to maximize their investments.
