Neuron | FAQs
We’ve decided to compile the questions most frequently asked into a separate Medium post before a major overhaul. Enjoy!
What is Neuron?
Neuron offers structured products (Pools): strategies that help user perpetually buy and sell derivatives and get yield. Different from structured products ever created, portion of Neuron Pool’s deposits also earn interest in Curve or similar money-market, so user can expect double yields on the same capital. Not counting staking for NEUR rewards.
How do Neuron Pools work?
Simply deposit and forget, then come to see your yield. After deposit, Pool starts selling options (collateralized by deposits) and/or buying options (on pool’s funds) according to the algorithmic strategy. For example, ETH covered call strategy earns much more if ETH goes up, a little less if ETH goes up unexpectedly fast, and the same if ETH goes down.
Depositing in Neuron Pool = delegating the need to buy, sell and re-roll derivatives every week. Just watch your assets grow.
How is Neuron different from [Name] Finance?
In Neuron option strategies, assets simultaneously earn yield in money markets (Curve, Convex, Aave ,etc.), so the user gets additional yield: from liquidity providing and from options strategy.
Wait, so my MIM-UST deposit can be used with your strategies for additional APY?
Yes. Your MIM-UST liquidity deposit can be used in some pools, Put Selling for example. Your APY will be the sum of Convex MIM-UST APY and Put Selling strategy return; with NEUR rewards above that. Just choose «MIM-UST Curve» as liquidity pool on the strategy’s page.
How do I get NEUR rewards?
Deposit in any strategy, get Pool token in return (think of it as an LP token) and stake it on «Staking Page».
Why do some pools get rewards in two tokens, e.g. NEUR + UNI?
Some projects donate their tokens to incentivize deposits in pools on respective derivatives. For example, Uniswap DAO can decide to add UNI rewards for deposits in UNI Covered Call pool on Neuron. UNI tokens will be distributed as rewards to depositors proportional to their share and time in that option pool.
What’s an option? It all seems so hard to grasp. Will I ever be able to ape into Neuron?
Option is a financial derivative allowing for numerous strategies; more in our article. And yeah, we’ve made the UI straightforward, so anyone would be able to join the evolution of finance 🦄 Go and try it!
Is Neuron DAO-controlled?
Yes, Neuron is DAO-owned from the first day. The community owns more than half of total NEUR supply.
Will you deploy on L2/other chains?
We do have such plans and will definitely keep everyone updated 🚀
What is veNEUR? Does it have any value?
veNEUR is Neuron Fund’s governance token. Users can lock their NEURs for up to 4 years to participate in voting, receive boosted rewards & other incentives (revenue or rewards) to be added by DAO approval.
How can I contribute? Why would I do that?
It’s easy — we’ve got a contribution board where all the tasks are planned and tracked across the development, design, and content areas. Completed tasks are rewarded with NEUR tokens, so it’s a nice way to earn and take a bite into protocol’s revenue pie 🫓
I want to work in Neuron; where do I apply?
That’s great! Welcome to our Careers page and let’s proceed from that 👷
We’re a crypto market maker and want to buy options. Whom do we contact?
At Neuron, option contracts (in the form of neuron option tokens, noTokens) will be sold via an open batch auction, so everyone is invited.
I’m representing a DeFi protocol and would like to include [protocol name] into Neuron’s liquidity mining and/or option strategy pool.
Feel free to contact us at hello@neuronfund.io 🤗
Can I get exposure to my favorite Curve/Convex/Yearn pool here?
Yes, that is precisely what Neuron Pool is suited for — set your collateral to work in the place where it’s applied.
How is my yield “summarized”?
Web3’s nature allows for automated atomic transactions. With Neuron, it’s possible to collateralize your option position, at the same time using it for liquidity yields AND compounding the options position each week. So the total yield is LiquidityAPY + (1+OptionsAPY/52)⁵², which roughly equals the sum of LiquidityAPY + OptionsAPY.
What if something happens to the market?
We’re focused on improving yields for the most significant assets volume-wise — stablecoins and the most capitalized coins/tokens; also, when using a put-selling strategy, one is protected from impermanent loss to a significant degree.
What are the inner workings of Options and Option pools? Where are my funds going?
In our docs Protocol section, you can find explanations on how both Options and Option pools (along with their strategies) work.
Neuron makes collateral management for options easy and flexible.
Stay updated on:
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Discord: https://discord.com/invite/SFasvmAwSr
Telegram: https://t.me/neuronfund
