NYAN Finance: When the Internet's Favourite Meme Becomes a Decentralised Investment Fund!

Mon 25 Jan 2021 ▪ 19h38 ▪ 8 min de lecture - par Arnaud De Montbrial

If you’re a seasoned internet veteran, you’ve probably already met this cat as it flies through space. Oh, no, it isn’t really a big deal: if you don’t know about it, just google it quickly… But today, what interests us is not the internet meme Nyan Cat, but a crypto project inspired by it: NYAN Finance! Behind the project’s jokey appearance, it has big ambitions. With a decentralised ecosystem, NYAN Finance looks to offer everyone the Holy Grail of crypto: to become a whale by partnering up with other investors and using your collective intelligence! From NYAN and NIP to dNYAN, we will discover how this project works and its plans to usher in a new way of investing: pooled investment!

Disclaimer: This sponsored article is presented to you in partnership with NYAN Finance. Crypto investments are risky by nature, do your own research and invest only within your financial means. This article does not constitute an incentive for investment.

Introducing the project

Create a decentralised whale!

The NYAN Finance project presents itself as “the first decentralised and community-driven hedge fund”. So what does that mean in practice?

A hedge fund is a type of investment fund, and that’s the whole point of NYAN Finance!

Investment funds already exist in the traditional world. However, they are usually inaccessible to the general public, not least because of the many barriers to entry, such as:

·       A minimum investment

·       Management fees

·       Needing to lock in funds over a period of time

NYAN Finance wants to make this available to all, using the power of DeFi and tokenisation.

As the saying goes, ‘small streams lead to great rivers’, however, with NYAN Finance, you have the opportunity to become a real whale out at sea.

By participating in this investment fund, you enter the NYAN Finance community. From that moment on, your funds will work like a real investment fund.

The only difference here is that to find out which projects you want to position yourself on, the decision does not come down to two or three ‘analysts’ who you’ll never meet, but to yourself and your fellow NYAN Financers!

It’s fair to say that the originality of NYAN Finance lies in its decentralised governance. Everyone can participate in decisions, and NYAN Finance believes strongly in the concept of pooled wisdom.

On the graph above, you can see how NYAN Finance works. Nothing complicated. Lots of investors, each voting from a list of available projects, with an investment made according to these votes.

Then, the revenue generated is shared among all, even if the fund made a profit on a project you didn’t vote for. This is the power of collective intelligence!

NYAN Finance’s different tokens

The idea is excellent, and the project makes big promises! But to work, you have to have tools, or in our case, tokens! Since NYAN Finance is composed of separate projects, they don’t use one or two, but three separate tokens!

In order, we have:

NYAN-2

NIP-2

dNYAN-2

Each of them has their own specific role!

NYAN-2: This token is the one used to make decisions at the NYAN Finance level. This is the token of governance. The token is used for various votes, such as:

What should we invest in?

Which token should we farm?

When should we sell our current positions?

You also need it to mine the NIP-2 token!

NIP-2: Catnip (NIP-2) is the token used to invest in various projects. To get it, you have to mine it by staking NYAN-2. 80% of the mined tokens go to the miner, and the remaining 20% are placed into an investment fund.

Catnip miners, therefore, are the ones gradually building an increasingly larger investment fund!

In addition, if you provide liquidity to the NIP/ETH pair, then you can get the third token: the dNYAN-2.

dNYAN-2: Dark Nyan is a token that serves as a bridge to the Polkadot ecosystem, and therefore, by definition, to all other blockchains. It is therefore extremely useful, since it gives holders access to all tokens that are not ERC20 – i.e. on the Ethereum blockchain.

It is a complementary token to the NIP-2, which is used to invest in Ethereum projects.

Under the same model as the NIP-2, 20% of dNYAN-2 mined are allocated to a community-led investment fund, with NYAN-2 as the token of governance.

If you ever want to buy NYAN Finance tokens, the project team recommends going directly through Uniswap!

What’s new?

Version 2 to cut down on speculation

As you may have noticed, all tokens are followed by the number two. It’s not for nothing. NYAN Finance V1 was launched several weeks ago. But after a vote within the NYAN Finance community, they made the choice to switch to V2 in order to slightly change the rules at the core of the system.

The goal behind this is to streamline the system. It was also to slightly overhaul the token economy, in order to make it less speculative and to be able to focus on the tasks for which they were originally planned. A kind of return to the original vision of the project!

Integration into Polkadot and other platforms

As you have seen, the dNYAN-2 allows holders to invest in the Polkadot ecosystem, and thus to get into projects that are not part of the Ethereum blockchain.

However, this feature is still under development. As soon as it is completed, a one-for-one swap will be available between dNYAN-2 on Ethereum and those on Polkadot.

But beyond being able to go on other blockchains, the NYAN Finance project is always expanding, with many integrations planned for the coming weeks:

AAVE

Compound

Kyber

In fact, in recent weeks, NYAN Finance has joined the platform Core following a vote by the community.

The aim is to enable this decentralised investment fund to take positions on all the opportunities that exist today in the crypto space, and the team behind NYAN Finance is doing everything possible to deliver as quickly as possible.

NYAN Finance is a project with a strong desire to mimic an investment fund as much as possible, where the management of its funds is accessible to all. Here, there are no barriers to entry, no need to present your CV or even put on your most beautiful smile. All you have to do to embark on the adventure is buy a few tokens! The team listens to its community, and improvements to this project are being made day after day. In addition, many resources are available to help you understand the project and join its community! Whether it’s through their Q&A site, on Twitter, or through Discord, there’s no need to keep your questions to yourself if you get stuck!

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Arnaud De Montbrial

Diplômé d'une grande école de commerce, m'intéresser aux nouvelles tendances de marché fait partie de mon métier. L'intelligence artificielle, la blockchain et les cryptos, il fallait que je vous en parle !

DISCLAIMER

The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.

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