Trading Strategies

Vault-based protocols pool your funds inside a standardized structure so the trading strategy can deploy them. Funds remain locked for a set period - the "epoch". Our core product offering is the following three vaults:

  • GM (Arbitrum);

  • ETH++ (Arbitrum);

  • GLP++ (Avalanche)

Each vault uses a different trading strategy to capitalize on different market inefficiencies and exposing funds to different degrees of risk.

All strategies adopt the same theoretical principles:

  • Identify drivers of market change;

  • Build signals that capture those drivers;

  • Turn those signals into positions;

  • Risk-manage the positions.

Quantitative signals are generated from QV-Labs machine learning/modeling expertise. They are then filtered and structured qualitatively by human traders to extract optionality/exposure at discounts given inelastic behaviors of end users of options (e.g., convenience yield/barriers to entry). D-Squared thus operates a hybrid model, to combine both quantitative and qualitative inputs.

D-Squared applies sophisticated risk management procedures that consider the price, size, volatility, liquidity, and inter-relationships of ETH with other cryptos.

Last updated