Goldfinch Update # 12
Frax passes $100M AMO to the Senior Pool, sheltering from DeFi’s volatility, a new governance proposal up for vote, and more.
Community,
We know that this is a difficult time in crypto, and that this week’s volatility has impacted many people’s portfolios. We empathize with all of our community members who were affected by the broader markets, though we are glad that Goldfinch is designed to be more sheltered from this kind of volatility and that the protocol’s USDC yields were not affected. Please know that we are here to support you, and don’t hesitate to reach out in the #general-support channel of the Goldfinch community Discord.
Read on for more insights on how Goldfinch weathers the storm, along with more news from the ecosystem.
🎙️Highlights of the week
The Frax community passed a proposal to launch a $100M Goldfinch AMO providing capital to the Senior Pool. Learn more in our announcement.
IP-11 Bootstrap GFI Liquidity with Ondo x Frax LaaS Program is live for voting on Snapshot.
Will my stablecoins on Goldfinch be affected by the recent crypto market crash? Read the FAQs below.
🎱 Senior Pool / Borrower Pool Updates
Current Senior Pool APY: 19.33% combined (9.81% USDC + 9.52% GFI)**
Live now: A $10M Borrower Pool financing Cauris, a credit fund bringing DeFi to global fintechs, is open. View their Pool’s dataroom for due diligence, including underwriting, offering documents, and more, by signing their NDA here. Then, invest here.
Get real-time updates when new Backer Pools launch, and news on upcoming Borrowers, here.
The Senior Pool is automatically diversified across different Borrower Pools. Backers can invest in specific Borrower Pools, and earn an additional share of rewards for their role doing so. Pools normally close for Backer deposits within a week. Learn more here.
👀 From the Beak
The Frax community has passed FIP-60, a community-driven governance proposal to create a Goldfinch AMO on Frax providing $100M in liquidity to the Goldfinch Senior Pool. The proposal passed today with 99.98% of voters in favor. Learn more about the proposal, what Frax AMOs are, and how this will benefit Goldfinch’s efforts to provide capital to businesses on the ground worldwide in our announcement post.
Community member Alvin Hsia wrote an article describing his and Emily Hsia’s process of proposing and implementing the Goldfinch community initiative to support GFI staking incentives for FIDU-USDC liquidity positions. Read about the motivations, how it benefits the Goldfinch community, and what the governance process was like in his Medium post or on Twitter.
While the crypto market experiences high uncertainty and volatility, we’re glad to be supporting a protocol that’s built for the long term—providing sustainable, high-quality USDC yields, generated by real-world economic activity that promotes access to financial equality. Read more in our Tweet thread.
📰 Goldfinch in the Media
Vauld Insights covered Goldfinch’s impact on the future of finance in their recent blog post, “Goldfinch’s Growth Shows How DeFi Can Help TradFi.” Read it here.
Goldfinch was also featured in the quarterly Fintech Report from Pitchbook, a financial technology company that provides data on the capital markets. Download the report on their site.
Thank you @pgolding for the shoutout!
📅 Events
Upcoming:
There are currently no scheduled upcoming events – please watch our Discord for more announcements.
🗳️ Governance Proposals & Protocol Updates
Any $GFI holder can make a Goldfinch Improvement Proposal (GIP) via the process here. Voting costs nothing and happens through Snapshot.
GIP-11 Bootstrap GFI Liquidity with Ondo x Frax LaaS Program is live on Snapshot. This proposal outlines a Goldfinch partnership with Ondo and Frax to bootstrap DEX liquidity for the GFI token. GFI holders can vote on the proposal here.
GIP-10 Remove 12-month Vesting Requirement for Senior Pool Liquidity Mining is live for discussion now. Contribute to the conversation here.
📊 Stats
Defaults in the last 30 days: 0
Repayments in the last 30 days: ~$731K USD ($731,157.07)
Protocol Revenue in the last 30 days: ~$208K USD ($208,150.00)
Total Active Loans: ~$102MM USD ($102,219,761.59)
See more data on Dune
❓FAQs
Will my holdings at Goldfinch be affected by the recent crypto market crash?
There are a few reasons why Goldfinch is more shielded from the instability and volatility of the crypto market than some other DeFi solutions. In a nutshell, everything on Goldfinch is solely in USDC, and is under the care of highly trusted Borrowers who are serving their local markets.
First, unlike many of the stablecoins in the news this week, currently Goldfinch only accepts deposits in USDC—a stablecoin that is backed by cash and short-dated US government obligations. USDC is pegged 1:1 with the US Dollar, and is fully collateralized. Each month, Circle, the issuer of USDC, releases an attestation report from Grant Thornton regarding the USDC reserve balances. For more information on USDC, you can visit Circle’s website.
Second, our yields come from interest paid by real-world Borrowers, who are based in emerging markets. These Borrowers are serving their local markets, which are separate from crypto’s volatility. This is unlike many DeFi opportunities, which generate their yields from other on-chain crypto activities.
The Senior Pool is currently open for placing capital, and will remain open.
🧠 More Info
📚 Want to get started? Read our simple protocol guide.
☕ Book a slot to chat with Warbler Labs team members here.
💰 Want to deposit capital in the protocol, but would rather chat with a human face first? Fill our form here and our team will get back to you.
🛠️ Find job openings for different positions at Warbler Labs here. Come Buidl with us!
📗 Read our Borrower Profiles here, and view the protocol’s pipeline of upcoming Borrower Pools here.
🐦 Follow us on Twitter, join our Discord, and see the latest governance activity on Discourse.
**Disclaimer: All APYs on Goldfinch are dynamic, and these APYs are a snapshot from 05.12.2022. The Senior Pool APY changes based on the amount of capital in, and the utilization rate of, the Senior Pool.