Cega attempts to cater to exotic options structured products for retail investors to offer superior yield and protection against market downturns.
Cega Bringing TradFi to DeFi
The protocol has announced the launch of its devnet for testing on March 31. The devnet currently allows users to test the experience via staking of mock USDC tokens. The first formula in the devnet starts with ETH-SOL-BTC structures into a Fixed Coupon Note (FCN) vault. The users of the devnet will be betting that neither of the three tokens will be crashing by more than 50% of their current price.
Fixed Coupon Notes (FCN) is a type of exotic options structured product that involves both options and bond-like characteristics. While FCN is a new product in the DeFi markets, they have been offered by the larger traditional banks to these clients for decades now. It enables users to earn high, daily yield payments on the capital deposited until the FCN matures or expires.
Earlier this year, on March 8, Cega Finance concluded its seed funding round of $4.3 million that Dragonfly Capital led. Other crypto venture capital firms like Pantera Capital, Coinbase Ventures, Alameda Research, and Solana Ventures, amongst others. The funds are intended to be used to accelerate the development of Cega’s technology, create a vibrant community around the protocol’s product offerings, calibrate statistical models and educate users about DeFi and derivatives as a financial product.
What is Cega Finance?
Cega is a Solana-based protocol that builds exotic options structured products that enables retail investors to generate superior yields and provide a layer of security against events like market crashes. The protocol was designed to create flexible and diverse opportunities for every Web3 investor entering the market.
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