Solrise finance is a decentralized non-custodial and trustless asset management and trading protocol that allows fund management and investment protocol on Solana — the fastest blockchain to date. Solrise finance would allow both individuals and fund/ asset managers to easily create, manage and track their investment portfolios within an application.
With the completion of the 2021 Solana x Serum virtual Defi Hackathon, 9 projects were selected as winners of which Solrise Finance was among. Solana x Serum virtual Defi Hackathon is an event where developers and hackers build novel Defi applications and tools/ infrastructure, to bring blazing speed, low fees, scalability, and a positive impact to Decentralized Finance while incorporating Solana or Serum in their projects. Solrise finance was selected as second-placed winners alongside Parrot and Synthetify. The hackathon was judged by Anatoly Yakovenko, President of Solana Foundation, Sam Bankman-Fried, CEO of FTX, Jeremy Allaire, CEO of Circle, Meltem Demirors, Chief Strategy Officer of CoinShares, and many others. Winners in this category were rewarded with $20,000 USDC each.
What is Solrise Finance?
Solrise Finance is a decentralized non-custodial and trustless asset management and trading protocol that allows fund management and investment protocol on Solana for two types of users: Fund/ Asset managers and fund investors. Solrise finance decentralized asset management protocol would seamlessly connect the world’s best investment and asset managers with investors on the Solana blockchain in a non-custodial, trustless, and permissionless fashion. Non-custodial fund or asset management refers to a service in which funds or assets are not held by a platform or third-party, at any point during a transaction or period of rendering service. In contrast to custodial services which take possession of a user’s funds or assets for safekeeping and management, non-custodial fund or asset management, occurs through trustless smart contracts - which are computer protocols that allow the execution of credible transactions on a blockchain, without third parties. Non-custodial services are often referred to as the real-world example of decentralization, non-reliance on intermediaries, and adoption of blockchain technology.
With the global asset management market size expected to reach USD 1,292.17 billion by 2027, according to a new study conducted by Grand View Research, Solrise Finance aims to serve a percentage of this market with its futuristic decentralized non-custodial asset management protocol hence, bringing asset management to the blockchain.
Solrise Finance would allow fund managers to create and deposit investment funds, and choose assets to trade for the best fund performance while also allowing fund investors to inspect the performance of investment funds, invest as well as track their earnings. Unlike traditional asset management processes, Solrise Finance would offer its non-custodial asset management services with just a few button clicks.
How does Solrise Finance work?
Solrise finance is built on the Solana blockchain, the fastest blockchain to date. Features of Solrise finance include very cheap, and fast transactions, multiple assets support, asset exchange and rebalancing mechanism, wallet adapter, price discovery oracles, standardized SPL token infrastructure and real-time tracking of top managers’ performance. These features of Solrise finance make it the best one-stop asset management protocol where you can invest your capital in different strategies, based on a transparent and immutable track record.
Solrise finance allows a fund manager to create a fund account and deposit funds to this account. The fund/ asset manager to mint tokens which would represent a portfolio of assets that includes the USDC, SOL, SUSHI, SRM, and LINK. This minted token enables fund/ asset managers to bypass the need to manually rebalance their portfolios. Fund or asset managers can implement an asset management strategy seamlessly without having to manually juggle all the individual assets in their portfolio. Fund investors can explore public funds by their performance, fund strategy, amount of investments, and/or fund manager’s record, with an option to invest into multiple funds without a minimum cap.
The risks involved with custodial services like Bitfinex, Genesis Capital, and BlockFi include censorship, confiscation by regulatory agencies, downtime, insolvency and illiquidity, extended processing period, a central point of failure, complexity, and counterparty risk. Non-custodial services like MakerDAO, Compound, and dYdX on the other hand are decentralized censorship-resistant and fast protocols with easy-to-use interfaces that can’t be confiscated and carry no risk of insolvency or downtime.
Advantages of Solrise Finance in Asset Management
- Assets customized to market demand: Assets can be made to meet specific investor requirements to better adapt to changing demand.
- Wider market access and lower risks for investors: Fractionalized ownership, global distribution, and the reduced cost of issuance ensure affordable assets are accessible to larger investor pools.
- Heightened secondary market opportunities: Increased connectivity between digital assets and associated networks expands secondary market opportunities and improves the potential for liquidity.
- Immediate post-trade processing and settlement: Blockchain activates immediate change in records of ownership, arrangement of transfer, and settlement of funds.
- Process efficiency and reduced costs: Smart contracts automate asset management processes including compliance, KYC/AML, payment settlement, transaction monitoring, and reporting.
Solrise finance team of about 8 individuals is led by Vidor Gencel, Technical Lead. The Solrise finance testnet is ongoing, you can join here.