On August 26, Yeo In Jae, co-founder (CPO) of Set Protocol said, “The vision of Set Protocol is to create a decentralized cryptocurrency fund ecosystem where strategies can be shared and applied to any users” at the 3rd day of ‘Korea DeFi Road Show’ webinar.

Set Protocol is a decentralized platform that allows you to quickly and easily create and manage on-chain cryptocurrency funds. Each Set is a tokenized portfolio and is expressed in ERC20. The value of the Set is determined by the tokens in the Set. Cryptocurrency funds can be rebalanced at any time by the manager within the platform. Managers can be human or can be programmed.

The programmed cryptocurrency fund rebalances its portfolio by switching tokens to stablecoins when it detects a price drop and changes back to the corresponding coin when a price increase is predicted. Conversion to cryptocurrencies other than stablecoin is also possible according to the trading pair.

CEO Yeo also talked about the limitations of Set Protocol. “Currently, Set Protocol works within trading pairs, which only two tokens can be added to the portfolio. Trading pairs cane be Ethereum, WBTC, LINK, USDC, DAI, cUSDC, and cDAI. Yield farming occurs only with cUSDC and cDAI. In addition, when rebalancing portfolio, marketmakers must supply liquidity because we use the reverse auction system; and it takes about 30 minutes.”

He then mentioned  about Set V2. “In Set V2, users will be able to construct crypto fund portfolio with two or more cryptocurrencies. It will also expand the choice of tokens. In the future, the Set will be able to earn interest by allowing yield farming. Users can request an airdrop token. Transactions will be executed immediately via DEX, and market makers will no longer be required when portfolio rebalancing.”

Finally, he said, “I hope that in the future we will be able to create a portfolio of tokenized securities or real estate and even a other assets around the world.”

번역: 김동우 기자