Company attributes
Other attributes
MYSO Finance closes $2.4M in its seed round. Their team will be deploying this capital to accelerate the development of MYSO’s zero-liquidation loan protocol, called “IKARUS”.
The IKARUS protocol allows users to borrow without liquidation risk while offering Liquidity Providers (LPs) yield for bearing this risk.
MYSO Finance is proud to be backed by several seasoned crypto VCs, strategic investors, and angels, including
- Huobi,
- Nexo,
- Wintermute,
- GSR,
- Hashkey,
- CMT Digital,
- Nothing Research,
- Caballeros Capital,
- Advanced Blockchain,
- Ratio Ventures,
- Symbolic Capital Partners,
- Jabre Cap,
- Mentha Partners.
What is IKARUS
The IKARUS protocol is structured like a DEX, meaning that an individual borrowing market and liquidity pool can be created for every cryptocurrency pair. LPs can fund each market by providing both assets of the associated pair, while borrowers can borrow one purchase after posting the other as collateral and vice versa.
A unique characteristic of the IKARUS borrowing protocol is that it is oracle-independent, meaning repayment and settlement of loans happen by incentives rather than requiring external price information to orchestrate this process. Naturally, it is in the users’ interest to repay their loans if the value of their pledged collateral remains above the amount owed. If this is the case and they repay, then LPs receive an interest payment, and otherwise, if users don’t compensate, LPs receive the pledged collateral. While LPs bear the downside risk of the given collateral, they receive a risk premium for this, automatically determined based on the supply and demand dynamics of the given borrowing market. The resulting risk profile of LPs is comparable to that of an option writing strategy of holding covered calls and covered puts.
In contrast to conventional crypto-loans, users of zero-liquidation loans never get liquidated, even in case of flash crashes, all while ensuring that they can reclaim their pledged collateral any time before the expiry of their loan.
MYSO protocol can also be used by DAOs, who want to offer borrowing facilities for their native token independently of oracles.
About MYSO Finance
MYSO Finance was founded in early 2022, after being awarded as one of the winners at the ETHOnline hackathon in October 2021. MYSO Finance is an abbreviation for a Million Yield Structuring Opportunities and aims to combine concepts from the world of DeFi with TradFi to build game-changing financial products, starting with the IKARUS protocol as its first product.
Their official website says: "We're building a liquidation-free, fixed-interest and oracle-free borrowing solution.
Borrowers are freed from liquidation risk while liquidity providers gain exposure to a passive option writing strategy, unlocking option selling as a sustainable yield source.
We're backed by some of the best crypto market makers in the world, by one of the biggest CeFi borrowing platforms, by one of the leading Asian crypto exchange and many more.
We're now implementing our latest iteration and preparing for an audit with our friends from ChainSecurity. More infos will follow once we've passed the audit."
Join on:
- Discord
- Telegram
