Let's take a step back. If you look at any financial activity within DeFi, whether it is yield farming, lending or liquidity providing, there are risks involved.
My Chads, institutions and retail are entering the DeFi space at unprecedented volume. One of the key primitives in DeFi will be the securitization and tranching of DeFi and is still massively undervalued. Enter https://t.co/Gx4H3hIzNg ( $SFI ).
Don't worry, let me ELI5.
Let's take a step back. If you look at any financial activity within DeFi, whether it is yield farming, lending or liquidity providing, there are risks involved.
As an honest lender, the rewards are interest, and risk is default of the borrower.
Securitization means taking several assets and pooling these together to create a new fancy asset.
Tranching means cutting a security into two or more several pieces, where each piece carries a different level of risk.
Imagine a risky activity such as being a LP to SUSHI/ETH on Sushiswap.
Uncertainty about rewards:
1. What's the price of SUSHI?
2. How much are the fees I receive?
Uncertainty about risk:
1. Loss of funds (e.g. SC risk)
2. IL
SUSHI/ETH retail tranche:
- x5 multiplier rewards.
- IL
- If smart contract exploit, funds first go to INSTITUTIONS tranche.
SUSHI/ETH institution tranche:
- Low (potentially fixed) rewards
- Funds SAFU
- No (or reduced) IL

1. Its focus on the tech (no over-hype), which is needed for a complex product such as securitization and tranching. Also rumors about core dev being ex-CMC founder.
2. Strong community.
* Chainlink reached out (props to the amazing $LINK team).
* Talks with $ALPHA and rumored upon V2 releases there will be a collaboration.
*Cream integrations in v2
* $COMP tranches

- Lower gas costs
- Roll-over system (deposit once and forget, no more epoch system)
- Include more asset tranches
- Customizable risk params
A. Customizable risk yield farming / liquidity providing. Already partly in V1 of Saffron, but V2 will allow for much more customization in risk level.
B. Fixed-interest delta-neutral yield farming / lp / loans.
Based on the risk customization, V2 will have fixed-interest/APY yield farming. The impact of this cannot be understated. Besides institutions, many crypto projects have huge unused treasuries (some 100M USD+).
1) Staking in the SFI staking pool to earn SFI.
2) Accrue fees regenerated from the protocol
3) Requirement for joining some tranches for enhanced yield
4) Governance
This SFI has been used to secure a funding round by leading VC’s. These VC’s will be locked up. More announced soon.
Great interview by Psykeeper for Delphi:
https://t.co/77ZH9le7Lb
AMA + how to join liquidity pool video:
https://t.co/aHqd84VLvi
https://t.co/VEi6b8SuDc
Great article from Messari about the scope of fixed income protocols: https://t.co/jLc8gNBssg
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Here’s what "financial wellness" means to me
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2/ Mindset
Humans are programmed to think short-term
Evolutionary, thinking short-term makes sense. It helps with survival.
Financial wellness is all about training yourself to develop a long-term mindset
Not easy -- it takes practice
3/ Mindset
If you join the right tribes, you can’t help but improve
My favs:
@AffordAnything
@ChooseFiFI
FinTwit
@MicroCapClub
@themotleyfoolFool
@visualizevalue
Twitter / Podcasts / Blogs / YouTube -- when used correctly -- are amazing
4/ Mindset
Educate yourself - constantly!
Especially about:
1⃣Money
2⃣Relationships
3⃣Health
These 3 categories have an outsized influence on all areas of your life
Books
5/ Career
In the beginning, focus on growing your income
Do more than what is expected
Become a lynchpin
Find a career that you ENJOY (<- important!) that also has high-income potential
Start a side hustle (<- important!)
Build your talent
Here’s what "financial wellness" means to me
⬇️⬇️⬇️⬇️⬇️⬇️⬇️⬇️⬇️⬇️
2/ Mindset
Humans are programmed to think short-term
Evolutionary, thinking short-term makes sense. It helps with survival.
Financial wellness is all about training yourself to develop a long-term mindset
Not easy -- it takes practice

3/ Mindset
If you join the right tribes, you can’t help but improve
My favs:
@AffordAnything
@ChooseFiFI
FinTwit
@MicroCapClub
@themotleyfoolFool
@visualizevalue
Twitter / Podcasts / Blogs / YouTube -- when used correctly -- are amazing
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— Brian Feroldi (@BrianFeroldi) November 7, 2020
Here are my favorite YouTube channels:
Top 5:
Mark Rober - @MarkRober
Real Engineering
Smarter Every Day - @smartereveryday
Stuff Made Here - @stuffmadehere
Wintegartan - @wintergatan
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4/ Mindset
Educate yourself - constantly!
Especially about:
1⃣Money
2⃣Relationships
3⃣Health
These 3 categories have an outsized influence on all areas of your life
Books
1/ Book recommendations (thread)
— Brian Feroldi (@BrianFeroldi) November 20, 2020
Start Here:
Choose FI
Richest Man in Babylon
Millionaire Next Door
Rich Dad, Poor Dad
The Wealthy Barber
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5/ Career
In the beginning, focus on growing your income
Do more than what is expected
Become a lynchpin
Find a career that you ENJOY (<- important!) that also has high-income potential
Start a side hustle (<- important!)
Build your talent
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Here's the good news: Your salary is negotiable!@themotleyfool and @ChooseFi have some AMAZING free resources for scoring a big raise:
Use them!
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Last week Hizbollah's finance institution Al Qard el Hasan was hacked by Spiderz. A group of people took that Data and tried to make sense out of it. Below are the findings
https://t.co/eGLqvb28o5
Loans are provided to borrowers for gold deposits or other guarantees, to the association's members and to unsecured applicants.
AQAH had a carried forward loan balance of $450 million as of December 31, 2019. This balance has been increasing at a yearly rate of 13.4%.
AQAH laundered around $475 million in 2019 in the form of disbursed loans paid to more than 20,000 borrower accounts; mostly to borrowers with gold deposits.
Deposits accounts have been offered to 307,000 members of the association, 83,000 contributors as well as to 600 companies. AQAH closed 2019 with an overall depositors accounts balance of around $500 million.
https://t.co/eGLqvb28o5

Loans are provided to borrowers for gold deposits or other guarantees, to the association's members and to unsecured applicants.
AQAH had a carried forward loan balance of $450 million as of December 31, 2019. This balance has been increasing at a yearly rate of 13.4%.

AQAH laundered around $475 million in 2019 in the form of disbursed loans paid to more than 20,000 borrower accounts; mostly to borrowers with gold deposits.
Deposits accounts have been offered to 307,000 members of the association, 83,000 contributors as well as to 600 companies. AQAH closed 2019 with an overall depositors accounts balance of around $500 million.