Analysis: How INDIGO Uses Qredo to Protect Its Digital Assets

Qredo 中国

特邀专栏作者

2022-10-25 08:15

This article is about 2060 words, reading the full article takes about 3 minutes

How crypto hedge fund INDIGO uses Qredo to protect investment activity across the digital asset market.

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Summary

INDIGO is a multi-strategy fund investing in the hottest areas of the digital asset ecosystem.
The fund uses the Qredo Web3 wallet to access 12+ DeFi protocols across different EVM compatible chains, and uses the Qredo standard wallet to securely store 3 different digital assets.
With operational and safety concerns in mind, INDIGO is now expanding on several fronts.

“Our pioneering approach to investing means we need to capitalize on opportunities in every corner of the digital asset ecosystem. Qredo provides access to these investments and acts as a governance and security layer that protects all of our digital asset activity – freeing us to focus on growth and successful execution of our strategy."

— Nathanael Cohen, Co-Founder and CIO, Indigo Funds

Indigo Fund

INDIGO is a crypto hedge fund investing across the market; from blue-chip digital assets like Bitcoin and Ethereum, to the hottest tokens in the fast-growing GameFi, Metaverse and DeFi space.

challenge

Composed of a group of native cryptocurrencies and those fleeing traditional finance during the economic downturn in early 2022, INDIGO faces a uniquely challenging market environment. However, many of the infrastructure issues they encountered were common among growing funds.

First, as a multi-strategy fund, INDIGO needed a way to isolate activity across multiple wallets. Assets in each wallet need to be protected from external and internal threats, and every team member needs to be able to securely initiate and verify transactions.

In addition, INDIGO's complex DeFi strategy requires a platform capable of securely storing different types of assets, from NFTs to stablecoins.hosting infrastructuresolution

solution

As crypto natives, several members of the INDIGO team have used the original orange MetaMask for personal use. This naturally led them to choose professional alternatives to the organization:MetaMask Institutional。

A trusted advisor recommended Qredo as a custody solution to integrate with MetaMask institutions and secure INDIGO's DeFi activities without compromising access to staking, lending, and NFTs.

Using Qredo, the team was then able to configure sub-accounts for each of their investment strategies.

They set up Qredo Web3 wallets for each DeFi fund, enabling them to implement a range of strategies across multiple EVM-compatible blockchains — from lending NFTs to buying utility tokens.

To balance out the more risky game, INDIGO also runs less risky strategies. To this end, the team created the Qredo Web3 wallet for farming stablecoin yields on different protocols, and the standard Qredo wallet for securing blue-chip assets like bitcoin, solana, and ether. These large-cap digital assets are averaged at USD cost to centralized brokerage firms, and then transferred to Qredo for secure long-term custody.

For each wallet, the team formulated agovernance policy, which grants each of the four general partners the ability to initiate deals and requires the approval of at least two other partners.

“There are a few things that I particularly like about Qredo. First, the straightforward, streamlined governance workflow for day-to-day operations, and second, the fact that it is a Web3-native solution powered by its own token. We are looking forward to being able to Qredo Token (QRDO) to pay fees and vote on governance proposals to get more involved in the ecosystem.”

— Nathanael Cohen, Co-Founder and CIO, Indigo Funds

benefit

INDIGO has now been using Qredo since May 2022, and enjoys ease of access to DeFi, peace of mind against external and internal threats, and complete confidence in operational security — all of which comes at a fraction of the cost of other MPC providers.

As a result, INDIGO has been able to focus on expansion. The fund is now committing more investment to the most exciting areas of Web3, and planning a new raise to double its AUM. The team also plans to open a new VC fund in Q1 2023, with a targeted raise of $25-30M.

"Qredo liberates our focus. We can set aside the custody infrastructure issues that plague the digital asset space, and focus on our own growth — assured that our security and governance concerns are taken care of."

— Nathanael Cohen, Co-Founder and CIO, Indigo Funds

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