Balancer joins hands with WallStreetBets to launch ETPs and scale DeFi investments

  • Through the ETPs, WSBDApp users can gain crypto exposure in their portfolios through fiat-backed crypto stablecoins.
  • This will help users to scale DeFi investments by hedging against inflation.

Automated portfolio manager and liquidity provider Balancer Protocol has joined hands with blockchain-based trading platform WSBDApp. The WSBDApp has been connected with the iconic WallstreetBets grassroots movement and will be launching its exchange-traded portfolios on the Balancer V2 platform.

The decentralized ETPs align with WallStreetBets’ vision of increasing retail investor participation. Besides, it seeks to scale decentralized finance (DeFi) investments by hedging against inflation. Furthermore, the WSBDApp exchange-traded products (ETPs) will have a community-selected basked of fiat-backed crypto stablecoins. It will also include other native crypto assets and tokenized commodities.

The WSBDApp community will take care of portfolio compliance, voting, and portfolio rebalancing. This initiative will help traditional market investors to warm up with crypto investments. It will also help expand the possibilities of the decentralized finance (DeFi) market. 

Over the last year, the DeFi market has grown in size at a very rapid rate. This ETP from WSBDApp community will allow retail investors to diversify their portfolios with tokens such as WBTC, WETH, wDGLD, USDC, EURS, and NZDS.

This will also allow them to seek exposure to the crypto space while hedging against fiat currency inflation. In the press release shared with Crypto News Flash, BTCVIX, CEO of the WSBDApp said:

The WallStreetBets community has something for everyone, and with democratic tools like ETPs, we’re showing the world how financial markets should really be managed. Balancer is providing our community the data they need to access and evaluate these portfolios, enabling really educated financial decisions.

Understanding how WSBDApp’s ETPs work

The functioning of the exchange-traded-products (ETPs) from WSBDApp will be very much similar to ETF or index fund. It will feature a carefully selected portfolio of tokens that are non-custodial, fully liquid, and balanced to avoid inflation. 

As part of this partnership, WSBDApp users can easily connect their wallets to their Balancer Protocol portfolios. Balancer V2 will offer user dynamic control by rebalancing the portfolios. Furthermore, Balancer V2 operations will help to significantly reduce gas and other processing fees. Users will also get frequent updates on the status of their ETPs. Fernando Martinelli, CEO of Balancer Labs said:

We are excited to partner with the WSBDApp and bridge the gap between traditional and DeFi investing. WallStreetBets shares our mission of scaling accessibility to DeFi, and we are thrilled to welcome them into our ecosystem.

The Balancer V2 has emerged as a go-to platform for other DeFi market players to launch their projects. Last week, HaloDAO launched custom AMM on Balancer V2 to facilitate non-USD stablecoin swaps. Last month, Balancer also announced MetaStable pools to boost pool liquidity.

About Author

Bhushan is a FinTech enthusiast and holds a good flair for understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In his free time, he reads thriller fictions novels and sometimes explores his culinary skills.

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