Since the introduction of yield farming two months ago, DeFi has been growing at breakneck speed. Total Value Locked (TVL) has increased 5.6X and reached its all-time high of $6.77B. New protocols, platforms, and new investment opportunities are launched week after week, making it hard to keep up even for the most sophisticated users in the space.
This exponential growth has made it increasingly complex for users to efficiently select the best yield farming opportunities while reducing their exposure to risks. And it is even harder for inexperienced users who are looking to have exposure to DeFi protocols. These users don’t know where to start due to the complexity of these systems, and the lack of a single product that can help them make informed decisions without diving into multiple Twitter threads, blog posts, Discord groups, and complicated platforms.
Here is where Delphi comes in.
What is Delphi?
Delphi is an easy to use platform that allows users to automate their DeFi lives. Their platform offers curated access to different yield farming opportunities across DeFi, by providing non-technical users with a clean and simple UI to help them take advantage of them.
Through its platform, users have access to different investment options depending on their risk appetite. These options are presented as Savings, Investments, DCA (dollar-cost averaging), and Staking. Delphi is built by the Akropolis team and is the second product after Sparta built on the AkropolisOS.
Only the Savings option is available, but the Investments, DCA, and Staking options will soon go live, as well. For a full view of their releases schedule, you can check out Akropolis’s roadmap here.
The two most exciting options that can be accessed through Delphi are the “Savings account,” and “DCA” options:
The Savings account option provides users with a value proposition similar to that of traditional finance products, in which users can access products that offer predictable returns at low costs. The key difference here is that Delphi manages allocations across a wide array of stable coin DeFi pools in different protocols to take advantage of yield farming opportunities. In this way, Delphi offers higher APYs, while canceling volatility and exposure to impermanent loss.
The DCA option brings a much-needed feature to the DeFi space that has been traditionally offered by centralized exchanges: dollar-cost averaging. DCA gives users a straightforward way to gain exposure to assets by reducing the impact of volatility on the overall purchases.
How does Delphi work?
Delphi seeks to lower the barrier to entry for the least experienced DeFi users and be a compelling tool for experienced users at the same time. To achieve that, it offers a straightforward and intuitive interface. The “Savings” & Staking” options will be the first to go live on August 24th. So we will focus on the “Savings” option and on how to leverage it to make the most out of your investments.
- First, remember that to use the “Savings” option, you must own stablecoins such as DAI, USDC, or sUSD.
- Once you have stable coins in your wallet, go to the Delphi website, click on the right-hand side top corner on the “App” button, and connect your wallet when the pop up requests you to do so.
- Once your wallet is connected, you’ll be ready to start using the “Savings” option.
- When clicking on the “Savings” option, you will select among one of five pools in which to allocate your stablecoins and create your savings account. Starting tomorrow, you will be able to pick among any of the following pools:
- Compound DAI pool
- Compound USDC pool
- sUSD Curve pool
- Y Curve
- bUSD Curve pool
Pools have an option called “View Pool Details,” where you can click to find out the details about each pool and compare them to decide in which one to invest your savings. “View Pool Details” shows the total liquidity and asset weight, daily volume, gas costs, and, most importantly, the pools’ APY and the approximate weekly rewards that will be received in each of the tokens awarded in each pool.
Once you make up your mind, you can invest your savings in a single pool by clicking on the “Allocate” option in each pool. But you can also diversify among two, three or more pools by clicking on the “Allocate” option on the bottom right-hand corner.
The “Allocate” option is one of the coolest features of the Delphi “Savings” option. It allows you to diversify your savings by investing in more than one pool by performing one single transaction, at lower costs than making a separate investment in each pool by accessing different protocols.
As for the Staking, it’s a simple supply of liquidity to the AKRO-only pool at the moment. In the future, this section will be expanded & include Akropolis governance pools for Akropolis products.
Bonus (coming soon): with Delphi, you can also rebalance your allocation between pools in one single transaction.
Finally, once you have allocated your savings in one or more pools, you can track all of your investments by clicking on the “My Summary” option, which allows you to track all of your pools, APYs & harvest in one place.
The Delphi platform will be governed by holders of the ADEL governance token, which will be minted over six months after its mainnet launch. In a very similar fashion to YFI, ADEL will not have a pre-sale or pre-mine. It will only be earnt through liquidity provision of stablecoins, AKRO, and other selected tokens and active governance participation, and just 5% will be reserved for development, audits & other costs.
The most important parameters will be the following:
- ADEL is not just a governance token — it will have a shared claim on Delphi’s future fees (exit/entry fees, performance fees, exchange referral fees, etc.).
- 60,000,000 ADEL will be minted as fixed supply and distributed linearly over six months. Community governance will have the option to amend the ADEL monetary policy to introduce inflation/deflation/elasticity of supply.
- 95% goes to active users/LPs, including community rewards [unlocked from week 2].
- 5% goes to development, maintenance, and audit.
- A product governance DAO will be created before or shortly after full mainnet launch.
You can learn more about AKRO, Akropolis governance token, and ADEL, in this blog post.
As DeFi continues to grow exponentially and more protocols and platforms continue to launch weekly, complexity across the space will also increase. Even the most sophisticated users will start struggling to keep track of all the different investment opportunities and new systems in this scenario. This is where platforms such as Delphi come in.
By solving all the complexities in the background and providing a clean UI for any user to easily invest, rebalance, and monitor their allocations, Delphi provides a very compelling value proposition that can make any user comfortable with interacting with DeFi.
It is also exciting that the governance token distribution that Delphi will pursue puts the users of the protocol first and will allocate 95% of all minted tokens to the community.
Open your Savings account on Delphi tomorrow, or learn more about them by heading to their website. You can also check out their roadmap and be on the lookout for all the upcoming releases.
Disclosure: This post is part of our DeFi Pulse Drops promotional series; We’ve been paid by Delphi to inform readers about their platform and the different options it offers. As always, we’re committed to providing the entire community with quality, objective information, and any opinions we express are our own.