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Frequently Asked Questions
What is D-Squared?
D-Squared is a suite of dynamic quantitative vaults designed to capitalize on market inefficiencies in the nascent DeFi industry. Composability is the cornerstone of DeFi, and by leveraging it in trading strategies, D-Squared aims to achieve a market edge.
Strategies are selected by depositing USDC into a vault that aligns with user’s investment goals. After depositing the capital, it is locked inside the vault for the designated epoch.
What is the business structure?
D-Squared is a platform created by way of joint venture between HessianX and BWS Labs. D-Squared itself is not a legal entity and does not have employees or offices. HessianX builds the technology and BWS Labs trades the strategies.
Why do I need an asset manager?
If you are happy to follow a simple long-only HODL strategy, or you are willing and able to design, risk-assess, and implement more complex strategies then you don't need an asset manager.
Many people are unable or unwilling to take on the burden of running their own investment strategies. D-Squared gives users a simple interaction with the vaults (choose a strategy, deposit USDC into the vault, then redeem or roll-over these USDC upon epoch completion) while handling all of the complexity for you. Our performance against benchmark is the test of whether we have done so effectively.
How does D-Squared differ from other protocols (e.g. STFX)?
D-Squared is a platform hosting vaults whose funds are actively managed by a team of professional traders. We differ from STFX in that we have a handpicked trading team who create and execute strategies that D-Squared have determined to fit a balanced product offering. There is no “crowd-sourcing” element and no intra-protocol competition.
D-Squared strategies are not yield farming, nor are they passive. Each strategy has a specific benchmark to outperform and a flexible active strategy that is monitored every day and - when signals arise - continuously repositioned. It is not “fire and forget”.
What is DSQ?
DSQ is the limited supply governance and fee participation token. There is a fixed supply of 500,000. This supply will reduce following token burns, on a to-be-determined discretionary basis.
What is esDSQ?
esDSQ is a receipt redeemable for DSQ tokens after one-year duration. It is used as a reward for users locking their DSQ. A portion of total supply has been set aside for platform rewards.
What blockchain are you on?
The DSQ token is on Arbitrum L2. Vaults operate on both Arbitrum and Avalanche.
What is the roadmap?
The roadmap is frequently updated as the business grows. For the latest update please see the graphic below, and keep posted on AMAs as announced.
Who is behind D-Squared?
The tech implementation is delivered by HessianX. Core developers are CryptoRat (Head of Tech, and Front End) and BowTiedPickle (Head of Solidity). Security is headed by Renzor.
Trading is delivered by the BWS Labs ecosystem, of which Luca is the director.
Note job titles are within HessianX and BWS Labs entities. D-Squared itself has no employees.
What is D-Squared's relationship to BWS Labs?
D-Squared is a joint venture between HessianX and BWS Labs. A feature of the JV agreement is that BWS Labs will provide trading services (strategy design and execution) to D-Squared. BWS Labs will also offer its own vaults targeting institutional investors on Avalanche, and also a GameFi platform called BWS Resort. These are separate to the D-Squared business but, as a related party, D-Squared will take advantage of the close relationship where it is possible.
How do I learn more about your trading strategies?
D-Squared will post regular Twitter threads that explain the theory behind the vault strategies, targeting the educated layman.
Can I track vault performance in real time?
We will create a Dune Analytics dashboard to track significant blockchain data in real time for D-Squared strategies. We also use the Haruko trading portal to report on trades, and post regular updates, and BWS Labs also post end-of-epoch debriefs (see this example).