PRESS RELEASE. Flynt Finance, the cryptocurrency monetary companies firm based mostly in Singapore co-founded by earlier derivatives alternate operators and analysts, launched a platform for crypto structured merchandise final week. The comparatively excessive returns (as much as 50% APY) on Flynt has gained robust curiosity from crypto yield lovers, particularly in the course of the bear market the place volatility is tougher to come back by.
Cryptocurrency markets are sometimes regarded as the go-to place for high-risk high-return because of the risky worth actions. Managing danger for such property may be advanced, particularly for people who don’t have a monetary background.
A preferred strategy to hedge is to make use of choices by getting into into positions reverse to present asset holding. For instance, holding spot bitcoin and shopping for a put choice if you count on some downward worth motion. Though nonetheless a nascent discipline in comparison with perpetual futures, crypto choices are a good way to hedge your risky positions each throughout occasions of chop and powerful developments.
There are additionally varied structured merchandise that present yield with mixed methods of choices, lending, and futures. One of many easiest and hottest structured merchandise is the lined name technique or a money lined put technique. Even the legendary Warren Buffet has famously used this to earn premiums on Coca-Cola shares.
Since 2021 there was a rush to supply lined name methods on varied cryptocurrencies for the yield-hungry crypto traders. These methods have been rising quickly since their inception and have held up surprisingly effectively in the course of the newer downturn.
After rigorous analysis and backtesting varied methods, the workforce at Flynt determined to launch their very personal structured product technique, the “BTC Coated Name Technique x5”. This technique sells name choices on a weekly foundation and reinvests the premium earned into the next week. Based mostly on the complete 3-year set of buying and selling information from Deribit (a number one cryptocurrency choices platform), the workforce derived a proprietary strike worth choice algorithm that maximizes returns and minimizes the possibility of taking a loss. A key differentiator for Flynt’s product is its use of leverage. Flynt makes use of as much as 5 occasions leverage on their methods to each enhance the returns in addition to lower the possibility of taking a loss by choosing an extra OTM strike worth. In response to their backtests, this resulted in a median APR of 47%(together with losses) in comparison with the trade common of about 15%(not together with losses).
David Website positioning, CEO of Flynt Finance mentions that “for most individuals, a non-leveraged lined name technique must be simply wonderful, however for people who want to take extra danger for larger returns ought to undoubtedly give Flynt a strive. By means of Flynt, we goal to supply entry to crypto funding methods for quite a lot of danger profiles.”
About Flynt Finance and the Workforce
Flynt Finance is a one-stop asset administration platform that gives structured merchandise on cryptocurrencies. The workforce is made up of blockchain OGs which have expertise delivering a variety of companies together with cryptocurrency exchanges, blockchain protocols, and dApps collectively since 2015. Flynt’s CEO, David Website positioning was the COO of a number one South Korean alternate, and Victor Park, the CTO has been constructing sturdy inventory and cryptocurrency buying and selling platforms for the previous 20 years. Different core members have in depth expertise in varied fields together with monetary huge information modeling, asset custody companies, derivatives buying and selling, and buying and selling structured merchandise.
Flynt’s workforce started the brand new initiative with a daring mission to supply monetary freedom to everybody no matter geography, know-how, and privilege.
To make sure clear communication to the purchasers on how the deposited funds are used, each technique executed by the workforce may be discovered on Flynt’s web site intimately.
Presently offering bitcoin covered-call methods that generate as much as 50% APY, Flynt plans to proceed to fulfill the wants of the ever-evolving crypto investor by means of progressive merchandise.
This can be a press launch. Readers ought to do their very own due diligence earlier than taking any actions associated to the promoted firm or any of its associates or companies. Bitcoin.com just isn’t accountable, straight or not directly, for any harm or loss precipitated or alleged to be brought on by or in reference to using or reliance on any content material, items or companies talked about within the press launch.
Picture Credit: Shutterstock, Pixabay, Wiki Commons