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Strategies is an FVIX app protocol designed to capture circulating crypto capital via the issuance of decentralized trading vehicles that represent either the underlying value or associated yield generated by asset-specific treasuries.

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Tl;Dr:

• Treasury acquisition vehicles are the meta of this cycle and bringing these concepts onchain unlock a new variety of trading products.
• Buying these products allows traders to gain alternative and leveraged exposure to underlying assets, making them the ideal passive trading vehicles for those bullish on the assets.
• KittyPunch is productizing this concept with ‘Strategies’, a native protocol within the FVIX trading platform that supports the programmatic or specialized issuance of treasury acquisition vehicle tokens with specific mandates.
• The first two ‘Strategies’ available are FlowStrategy (FLOWSTR), a vehicle designed to acquire FLOW network token, and DPIN (DPIN), a vehicle designed to acquire Disney Pinnacle Pin NFTs.
• All ‘Strategies’ trading products will be governed in a demand-driving fashion by $FVIX, with fee accrual directed towards the platform token.

It’s becoming abundantly clear that the major meta of this cycle is the rise of treasury acquisition vehicles.

Treasury acquisition vehicles, such as MicroStrategy and newer players like Twenty One Capital, function by raising capital through mechanisms like issuing new shares or debt offerings, which they then use to acquire and hold digital assets like Bitcoin or Solana in their corporate treasuries, aiming to diversify reserves and provide investors indirect exposure to crypto markets while leveraging share dilution to fund further asset purchases.

Buying these products allows traders to gain alternative and leveraged exposure to underlying assets, making them the ideal passive trading vehicles for those bullish on the assets. These concepts are working very well in traditional stock markets, and the next phase will see an emergence of similar, onchain products that further tap DeFi primitives to achieve oversized exposure to the underlying assets.

This is why KittyPunch has been building into this sector since earlier this year with ‘Strategies’, a native protocol inside of FVIX, our DeFi trading platform, to allow users to buy, earn from, and trade onchain acquisition vehicles for both fungible and non-fungible tokens.

Protocol Details

Strategies, at its core, is an FVIX app protocol designed to capture circulating crypto capital via the issuance of decentralized trading vehicles that represent either the underlying value or associated yield generated by asset-specific treasuries.

This can come in a few different flavors, depending on the treasury vehicle's target asset.

For fungible tokens, Strategies will have a more dynamic and live supply elasticity with the underlying asset being accrued. This means that the supply of the vehicle token can expand and contract as a function of the treasury NAV & circulating vehicle token market cap.

For non-fungible tokens, Strategies will rely upon fee capture from the underlying treasury to tie the vehicle token to the treasury NAV. The fees generated will come in a few forms:

1. NFT sales / rebalancing - as proceeds come through the treasury NFT activity, a percentage of those fees will be retained from buybacks of more NFTs to purchase $FVIX off the open market and distribute it to vehicle token stakers
2. Lending yield - as the NFT treasury grows, the assets themselves will serve as a collateral basis to borrow more liquid assets to further capture yield. This captured yield will be in part returned to vehicle token stakers via $FVIX buybacks and distributions.
3. Rental yield - in-demand NFTs from the treasury can be rented out in return for yield (most applicable in the gaming space).
4. Fractionalization - additional yield can be captured by leveraging KittyPunch’s upcoming Hoard BAMF AMM platform to fractionalize, LP and earn from the core treasury NFTs.