QuantiFi Investor Fund Explained
The first product launched by QuantiFi is the QuantiFi Investor Fund. You can access the Fund under the QIT Fund Tab on the QuantiFi website.
At a basic level, the Fund is a smart contract that serves two functions. Firstly, it allows investors to deposit USDT to enter the fund and receive QIT (QuantiFi Investor Tokens) in return. When the investor wishes to exit the fund (to cash in profits, redirect capital, etc.) QIT is redeemed for USDT by requesting a withdrawal.
Secondly, the Investor Fund smart contract allows deposits to be traded automatically in a limited universe of tokens, both in decentralized exchanges and by plugging into the larger liquidity available on centralized exchanges through RFQ orders. The sole purpose of the Investor Fund is to trade on behalf of the Fund's depositors in order to generate profits while minimizing downside risk.
Analysis Model Licencing
In order to optimize profits for investors, QuantiFi has entered into agreement to gain exclusive access to a long-running Quantitative Trading Model created by a professional quantitative research company located in Switzerland. By tapping into what successful investors with decades of experience are already doing, our automated Fund Manager is able to execute trades on the basis of trading signals created by this model. The licence to use the Trading Model is owned by QuantiFi (as comprised of the collective holders of QuantiFi Governance Tokens). In return, QuantiFi pays a licence fee which is set at 1.8% of all deposits to the QuantiFi Investor Fund.
QuantiFi Fund Manager
The QuantiFi Fund Manager is a bot that executes trades on behalf of the Quantifi Fund, on the basis of trading signals received from the Trading Model. The Fund Manager does not have the ability to move USDT out of the fund, except for the sole purpose of executing trades as directed by the Model.
Profit Sharing Model
Following the traditional fund model, 20% of all profits made by the fund is taken as a fee by the fund. Unlike a traditional fund however, these fees are not kept by the fund but are fully paid out to QuantiFi Governance Token (QNTFI) holders. This in turn grows the value of QNTFI over time. There is no restriction on the same individual investing in the Fund and simultaneously also receiving a QNTFI dividend from the 20% fee on Fund profits.
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