The much anticipated Invictus Capital quarterly report has once again been released and provides a treasure trove of market insight and analysis. The report touches on another eventful quarter in both the crypto and traditional markets, and despite the general downtrends across the globe, Invictus has continued along its uninterrupted path of growth.
Invictus’ five crypto-centric funds, with various risk profiles, have all closed out the quarter with positive returns. The Crypto10 Hedged fund, which uses an innovative dynamic United States dollar cash hedge mechanism, returned 23.91% for the quarter, significantly outperforming the market. Crypto20, the first fund by Invictus, returned 334.98% during 2021, outperforming Bitcoin (BTC) by 172.42%.
Invictus is also expanding its product offerings, launching its mobile app, migrating to a fully regulated fund structure and embarking on ground-breaking projects in the nonfungible token (NFT) and decentralized asset management spaces.
High-level fund performances for fourth-quarter 2021
- Crypto10 Hedged — 23.91%
- Crypto20 — 7.29%
- Invictus Bitcoin Alpha — 14.56%
- Invictus Margin Lending — 2.48%
- Invictus Hyperion Fund — 5.05%
Historic migration to a fully regulated fund structure
The year 2022 is shaping up to be an exciting year as Invictus finally realizes its lofty ambitions of breaking into the regulated fund management space, offering investors all of the protection and peace of mind they could expect with a traditional mutual fund. This historic migration into a fully regulated mutual fund structure will place Invictus at the forefront of innovation in the asset management space, with the full suite of open-ended funds operating on blockchain rails — a world first.
As part of this regulatory migration, Invictus will also relaunch the smart contracts that make its platform tick on the Polygon sidechain. This will enable near-zero transaction fees when interacting with the Invictus Capital ecosystem of products and further its ethos of democratizing access to the best investment products.
A continuous growth of product offerings
The last quarter cemented the Yield Vault’s place as a significant component of the Invictus Group’s product suite, and the existing community and new clients alike continue to offer their support. The Yield Vault’s total value locked increased by a stunning 41% from the third to fourth quarters.
The Invictus Yield Vault offers qualifying lenders the opportunity to lend Invictus Alpha, the trading arm of the Invictus Group, a $25,000 minimum of their coins for a predetermined fixed period of three to 18 months in return for fixed interest that is compounded monthly and paid in kind. The Invictus Yield Vault accepts BTC, Ether (ETH), TrueUSD (TUSD), Tether (USDT), Binance USD (BUSD), Dai, USD Coin (USDC) and now Euro Tether (EURT). Notably, Invictus Alpha continues to boast a stellar credit record and has repaid all loans fully and on time.
Invictus is also thrilled to announce that the minimum loan amount will be reduced to $10,000 for 12- and 18-month loans.
Launching a new DeFi fund
Invictus is also announcing its planned Invictus DeFi Fund. In 2017, its Crypto20 fund, a top-crypto index fund, automated all investments and redemptions on-chain. As active builders of the new financial system and some of the progenitors of decentralized finance (DeFi), Invictus understands the importance of exposure to this sector.
Initiated on the back of growing client and institutional demand, the fund will utilize a core-satellite structure, with 70% of its assets allocated toward a semi-passive index core, and the remaining 30% allocated toward three actively managed satellites. Investors in the fund will gain broad exposure to a sub-sector that is projected to expand rapidly as crypto breaks further into the mainstream and continues to cannibalize the multitrillion-dollar financial industry.
The DeFi fund is set for launch post-regulation and is expected in the second quarter. The fund has been seeded by Invictus for testing and, to date, has outperformed the DeFi Pulse Index by 28%.
More cutting edge innovation
Invictus NFT Lab — Out of Africa collection
Over the fourth quarter, the newly established NFT Lab has moved from ideation to the imminent launch of the inaugural Out of Africa collection, which includes 118 original artwork NFTs backed by physical artworks.
Alongside this, there will be a free-to-enter lottery for 1,770 deflationary poster NFTs — 15 per work. The collection’s values are derived from 10% of all project revenue, including initial sales and ongoing royalties, and it will go live in early February. Auctions for the original artwork NFTs will follow later in the same month.
The SolStreet protocol, incubated by Invictus, enjoyed a beta launch on the Solana mainnet and is now seeing growth through real investors, fund managers and assets under management.
This represents a major step in the evolution of the protocol and the execution of SolStreet’s overall vision. For now, the team has placed a maximum allowable investment cap per fund while the team submits the protocol for a smart contract security audit.
Soon to be released is the integration of Mango Markets, a perpetual and margin-trading protocol, which will bring a host of exciting features that include leveraged tokens and the ability to take short positions. Once the preliminary steps are complete, the protocol will have its “limitless” launch where the fund caps are removed. In the first quarter of 2022, the SolStreet team will also have all hands on deck in taking the final steps necessary to mint Solstreet’s native token, STRT.
The year 2022 holds much in store as the limits are pushed for technical innovation in the asset management space. Join this great adventure.