For Private Funds & Institutions
Trustless Fund Management Platform. Available for private use. Contact for more info.
Last updated
Trustless Fund Management Platform. Available for private use. Contact for more info.
Last updated
As a fund manager, Your investors' trust, experience, and returns are top priorities. However, recent events in 2022 have sparked concerns about asset custody and security in centralized exchanges, leading to large exits by retail and institutional investors. Crypto exchanges have stepped up and published their assets, adopting the proof-of-reserves principle in order to regain users’ trust. Despite these efforts, many investors are still shifting from CeFi to DeFi.
DeFi presents its own set of challenges, making it daunting for fund managers and investors to participate, despite the numerous advantages it offers. The lack of comprehensive trading tools, technical integration barriers, and scattered liquidity can make managing funds in DeFi a challenge. But with Arken, these obstacles are a thing of the past.
Arken has anticipated these limitations and swiftly developed a solution for private funds. With our platform, investors can enjoy the benefits of self-custody investment options, security, and flexibility for liquidity providers. Our Trustless Fund Management Platform ensures that your investors have full control over their assets, giving them peace of mind while boosting their confidence to invest with you.
Trustless Funds Management Platform offers investment funds on the blockchain, enabling investors to select and invest in funds that align with their investment goals. Fund managers can use their expertise to develop investment strategies to allocate cryptocurrency assets within the blockchain network.
When referring to the blockchain ecosystem, investment funds are often referred to as "pools."
In the world of cryptocurrency, a pool is a specially designed platform that enables the management of investors' cryptocurrency assets. It is managed and entrusted by a fund manager who is responsible for developing and implementing investment strategies within the pool to maximize returns for the investors.
Here are the issues we've tackled head-on for Fund Managers.
Unlike most centralized exchange platforms that have complete control over investors' assets, Arken's DeFi Infrastructure for Private Funds eliminates this vulnerability by having no single entity, apart from the investors, who can control the funds. Our platform allows investors to grant fund managers the authority to execute trades with strategies, but without granting any withdrawal rights.
One key difference between DEX and CEX is the risk of a Maximal Extractable Value (MEV) attack. These attacks occur when a party takes advantage of the system's blind spots, such as front & back running and sandwich attacks to gain potential profits.
Arken has designed our 'private' infrastructure to minimize the risk of MEV attacks. Our limit orders are private, guaranteeing that fund managers' trading orders cannot be monitored. Our swap engine is protected by a small-order-size distribution to deter frontrunners and leverages technologies like flash bots to secure the mempool from potential attacks.
Upon coming on-chain and offering your strategies to more retail investors, we support fund managers in the fee collection process. Currently, we support 3 types of fee collection: 1) Management Fee, 2) Performance Fee, and 3) Whitelists for off-chain fee collection.
One major barrier for fund managers to enter DeFi, especially those utilizing trading bots or high-frequency trading strategies, is the absence of standardized APIs across various platforms. This limits trading options and constraints available tools. In some cases, private funds have to extensively match liquidity to avoid price impact while maintaining long/short positions.
Arken Finance provides a solution with a single API to maximize your trading strategies. Our platform integrates essential tools such as limit orders, stop-limit orders, and market orders to maximize the potential of your investment strategy with minimal manual intervention. Integrating with Arken is also easy - our API requires no knowledge of smart contracts or blockchain technology.
At Arken Finance, we prioritize the security of investors' assets. Our infrastructure is designed with smart contracts to safeguard against third-party attacks.
It's important to note that the system only grants access to the execution of fund strategies, and does not provide any withdrawal rights to fund managers or Arken Finance. Investors retain sole authority over their funds and can withdraw them at any time. This reinforces asset security and provides peace of mind to our investors.
Continue reading for a detailed usage overview.
Currently, the product is not yet released for public use.
If you are interested in using the Trustless Fund Management Platform, please contact us at marketing@arken.finance