MatrixETF FAQ

WHAT IS ETF?

DECENTRALIZED ETF:

Advantages of ETF:

  • ETF is based on a smart contract without immediate, which is public and transparent. Being anonymous for 7/24,you can mint/Redeem/Trade it whenever you want. You can gain extra profits of farming, vault aggregator etc
  • ETF shares may be able to provide an investor easy exposure to a desired market segment.
  • ETF operation cost are low.

What’s is the discount and premium of ETF?

Benefits of purchasing ETFs:

  • It reduce investment risk by diversified investments.
  • Reduce the threshold and cost of investment
  • Supported by blockchain technology, safe and efficient transactions
  • Clear and transparent components, high tracking efficiency
  • Arbitrage mechanism to balance Net Value and Market Price consistent
  • Redeem whenever you want in the basket of assets.

The logic of Mint/Redeem

Multi Assets Mint:

  • Once users enter the amount ETF which they want to purchase, APP will calculate automatically the amount of consistent tokens.
  • Once you click Mint, the wallet will deduct consistent tokens to Smart Contract.
  • Smart Contract will transfer consistent tokens to fund pool.
  • Fund pool will transfer consistent amount of ETF to users
  • Once users enter the amount ETF which they want to purchase, APP will calculate automatically the amount of consistent tokens.
  • Once you click Mint, the wallet will deduct consistent tokens to Smart Contract.
  • Divide ETH according to the proportion of fund constituent tokens and transfer them to smart contract.
  • Smart Contract will transfer consistent tokens to fund pool
    Fund pool will transfer consistent amount of ETF to users.

Redeem logic is exactly the opposite with Mint

About MatrixETF

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