Introduction
The financial essentials of Shbank Convertibles
Last updated
The financial essentials of Shbank Convertibles
Last updated
Shbank is the first platform to allow yield on any project tokens via the introduction of convertible vaults in partnership with the underlying projects.
DeFi users are often struck with a dilemma when investing in crypto:
Either keep your project tokens to benefit from a value growth of your portfolio
Or sell them for more established tokens like ETH that have a smaller potential for growth than newer more volatile tokens, or even stable coins like USDT that are pegged to the USD in order to immediately start gaining (relatively small) yield
One of the main contributions of Shbank is to solve this dilemma by offering the users a trade-off that helps hedging their portfolios. By investing in Shbank Vaults, you are able to both keep your tokens and earn steady & high yields from investing your tokens.
And the cherry on the cake is that the yield is in stable coins and directly linked to the initial deposit value. This means that the users both:
Still hold their tokens for potential growth
Are able to earn steady yields in dollars and SBK unaffected by a potential drop in their token price
Value investing consists of acquiring assets that are trading at less than their intrinsic value and holding them for a long term potential.
DeFi being a relatively premature financial market compared to the traditional market, it still offers opportunities of investing in futuristic high potential projects. The goal of Shbank is to select such projects with valuable contributions to DeFi and partner with them to offer the best-in-class investment opportunities to its users.
"Price is what you pay. Value is what you get." - Warren Buffett
Value investing has proven to be one of the most successful investing schemes. Shbank's devotion is market efficiency: we firmly believe that working towards a more accurate valuation of each DeFi actor is the key to incentivize market evolution. Incidentally, Shbank offers investment chances with such actors that have a strong impact on the DeFi market and a genuine growth potential.
We still encourage our users to DYOR (Do Your Own Research) regarding the projects we partner with. Don't hesitate to learn more about their unique contributions:
Shbank vaults have the most competitive fees of the market thanks to the involvement of third party investors and the tokenomics dynamics.
With Shbank, you can combine earning steady yield in Stable Coins with holding volatile tokens with a high potential for price rise, in addition to earning to gain a positive exposure on a diversified basket of tokens.
The Convertible Vault investment yield is insured by .
