Struct to Success: A Comprehensive Recap
We are incredibly proud of what Struct managed to accomplish since our launch.
Let’s walk through it together!
As of today, we have launched 4 different markets, based on GLP:
- BTC.B-BTC.B
- BTC.B-wETH
- BTC-B-USDC
- USDC-USDC
These vaults have helped us effectively bootstrap the liquidity of our platform and organically surpass over $2.2m in TVL, ranking us among the top 20 protocols on Avax — all within just merely 8–9 weeks since our launch.
Speaking about product-market fit; while numbers themselves don’t matter, our progress brings us nearer to our ultimate vision: being able to provide stable fixed-income yields to more dynamic variable yields to DeFi, tailored to our users’ unique risk profiles.
As such, we take immense pride in Struct’s role in providing liquidity to the protocols of our underlying assets, generating a positive impact in the DeFi space.
Here’s a recap of the first 9 weeks since Struct’s launch.
How did we get here?
Over this period, we launched 24 vaults (!!!) across 4 primary markets — all meticulously synchronized with the heartbeat of the market.
We rolled out our launch in stages, testing and refining our product based on our users’ responses.
This provided invaluable insights into market and user dynamics related to our vaults.
1.1 Testing the Waters — The Launch
Our journey started officially in June.
Considering the novelty of fixed-income products in DeFi, our team decided to test the waters by introducing an initial vault with a small cap.
Our first Genesis vault on USDC had in fact a modest cap of $50k in TVL per tranche.
It was designed to allow users to navigate the bear market while receiving fixed returns and minimizing risk.
That’s where our journey started.
The users’ response was overwhelmingly positive, a testament to the strong demand for fixed-income products in DeFi.
They told us degens would not be interested in fixed-income vaults, but times have changed!
1.2 From 0 to 100 Real Quick — 6 Weeks After Launch
Riding the initial enthusiasm for our first vault, we decided to launch our second product based on BTC.b, with the objective of unlocking yields on more than $133m of BTC.b sitting idle on Avalanche.
These second vaults were a timely addition during the Bitcoin Price surge to 30k, which boosted the APRs of the Variable Tranches to over 200%.
With the addition of these new vaults, our $100k TVL landmark quickly became a $500k TVL landmark.
Finally, a safe place to get yields on BTC.b.
Our gigabrain users were able to capitalize on this move and leverage the magic of tranching to generate outsized yields, which has taught us the importance of staying in tune with market trends and users’ needs.
Talk about perfect timing.
1.3 Perfecting our Craft — Heading into the Next Phase
The overwhelmingly positive response to our BTC.b vaults armed us with confidence.
As further proof of our product-market fit, with the launch of our second vault, we passed the $1m TVL milestone in July: a symbolic yet important achievement.
Now it was time to perfect our craft.
We leveraged what we have learned so far to unveil our third vaults, based on BTC.b-USDC.
These have been our most successful vaults yet, with nearly 1m in TVL at the time of writing!
The reason they’ve done so well can be attributed to the fact that they allow users to capitalize on the recent low volatility experienced by Bitcoin — without exposing them to additional market risk.
Legend has it that there’s a vault for every degen out there.
Whether there’s high volatility or low volatility, it doesn’t really matter for our users, as there’s always a different strategy they can leverage by joining our vaults.
For insights into the factors influencing our vaults APR, refer to our article:
To recap:
- We launched an initial USDC vault focused on minimizing our users’ risk and exposure, starting with just $50k in TVL, to test our interest-rate products.
- Once we gauged an actual interest in our product, we introduced our second vaults, timed perfectly to capture the rising volatility of Bitcoin, which reached over 200% in APR!
3. This was followed by our last product, providing an alternative source of yield without additional risk, despite the low volatility experienced by the market.
Focus on building our product, yes — but to provide real value.
Where are we now?
“Hard times don’t create heroes. It is during the hard times when the ‘hero’ within us is revealed” — Bob Riley.
In today’s testing market, we are proud to say that things are not all that bad for Struct users!
Let’s examine the performance of both the fixed and the variable sides amid low volatility and declining prices.
As evident in the left column from our BTB.b vaults, our fixed tranche products are performing as intended: safeguarding users from market risks, while providing them with fixed-rate income.
All of our vaults guarantee users between 8–9% APR on the fixed side.
On the other hand, the Variable side is more sensitive to market volatility, as it bears a higher risk compared to the Fixed side counterparty.
While most of our vault tranches’ APRs are positive, some vault tranches have been experiencing negative APRs, such as -30% in the example provided.
Yet, this does not equal a 30% loss in deposited funds!
In fact, the “Variable APR” is an equation that stands for:
(APR / 365) x 56 days, or 2 months
Where 56 (or 2 months) is the length of the Vault;
therefore if we insert the -30% value we get:
(-30%/365) x 56 = -4.6%
Therefore, the real loss realized at maturity would be 4.6%.
While the variable side bears risk, it remains a preferred option for users seeking higher risk tolerance. Nonetheless, in sub-optimal market conditions, it is prone to some degree of impact from volatility.
Community Update
Alongside our strong focus on product updates — we recognize the importance of an organic community that believes in our project.
We have had a successful Zealy campaign, drawing passionate community members who embraced our vision. Over 2000 users participated!
Moreover, starting from our StarSTRUCT users, we have now a thriving Discord community that is rapidly expanding to cover many countries: Struct is going global!
The introduction of international channels and related community managers has helped and supported the development of many sub-communities: stay tuned for local community meetups and events.
Let’s crunch some numbers:
- Litepaper Translated into 14 languages
- 100% month-on-month growth in Discord members
- 100% month-on-month growth on Twitter: road to 10k followers!
Token 2049
Our team will be attending Asia Crypto Week and Token 2049 in Singapore, two of the most awaited events of the year!
If you are interested in a chat or grabbing a drink with our team, feel free to reach out via Discord or Twitter.
Come and meet us!
We are excited to meet our friends and potential partners and explore synergies and opportunities together.
Also, make sure to follow us on our channels to be updated on new vault launches before they fill up!
Join our Discord to participate in the local community and in the upcoming meetups.
DeFi has never been more flexible.
And we are just getting structed.
