❗Solution

To battle! Follow your Daımon to financial victory.

🛡️A Protocol that Works for Everyone

The traditional wealth management industry and the few currently existing DeFi asset management protocols are not built to adequately address the managerial power hypothesis. To solve the most pressing challenges, then, we look at solving the managerial power hypothesis.

🙋For Investors

Daımon introduces an on-chain asset management architecture that enables Treasury tokenholders to gain more power to shape their investment mandate by acquiring shareholding and decision-making rights in their respective Treasuries.

👨‍💼For Treasury Managers

Treasury Managers access the opportunity to set up Castles on a low-cost basis and earn management and performance fees, along with a more central role in the administration of their respective investor communities.

💰For Community Treasuries

The protocol strikes a balance between good governance and management efficiency by introducing the functions of the Trustee to decentralised finance, empowering Trustees with independent supervisory and deliberative power.

📮Contributions to the Industry

The Daımon Protocol solves numerous problems found in traditional asset management and adds several original contributions to the DeFi asset management sector. By doing so, Daımon enables the creation of a more inclusive, transparent, and effective Treasury management sector that offers Separately Managed Account services at below-market costs.

🏦Contributions to TradFi

❎No More Just 'Suppliers of Capital'

Tokenholders acquire direct voting rights in their invested Treasuries. This means that they can finally shape the governance of their invested Treasuries and express dissent in a more inclusive way rather than just through exit.

This also creates a structure where asset managers and the tokenholders can share opinions, exchange trades and discuss market sentiment in a way that increases the financial literacy of the latter, making investors more than just 'suppliers of capital'.

❎No More Rent Camouflaging

The protocol mitigates major forms of rent camouflaging currently present in the traditional industry. We introduce a crowd-sourced mediation framework where tokenholders, trustees and treasury managers can negotiate optimal advisory agreements.

Because all transactions are conducted on-chain, trustees can monitor the treasury manager's trades to make sure that arbitrage does not occur. Finally, on-chain valuation removes all issues associated with the purposeful inflation of the valuation of holdings.

❎No More Dependence on Intermediaries

Daımon also reduces the structural dependence of the asset management industry on external intermediaries and service providers. The protocol removes all service providers, transfer agents, principal underwriters or distributors, brokers/dealers, and custodians.

This drastically reduces the expense ratio of the offered treasuries, meaning that average returns for tokenholders and asset management companies will be higher. Unlike other DeFi solutions, this is not achieved at the expense of good governance.

❎No More High Barriers to Entry

Daımon reduces the high barriers to entry that many retail investors face when trying to access services that are currently available only to the 1%. The protocol also reduces other obstacles such as high management fees and a lack of transparency.

Similarly, Daımon also enables any asset manager to create their asset management company without high set-up costs and initial AuM or other capital requirements. This allows smaller players to compete in a market they are otherwise shut out of.

🌐Contributions to DeFi

✅Introduces the trustee

Daımon introduces the figure of the trustee to DeFi. This is significant because the very same power imbalance between beneficiaries and intermediaries in traditional finance is also present in DeFi. An independent trustee mitigates this issue.

We therefore devised a model that separates the trustee from the asset management company by implementing a multi-pillar governance structure and dichotomous incentives schemes through the meritocratic distribution of token rewards.

✅More Access to Portfolio Diversification

The protocol enables DeFi investors to access a suitable amount of diversification. In line with Modern Portfolio Theory, portfolio diversification is beneficial no matter how much capital is invested and becomes increasingly essential when investing large sums.

The development of a platform that allows users to onboard, invest and manage decentralised Community Treasuries enables investors to spread unsystematic risk by reducing the aggregate volatility of their portfolio.

✅More Free Time for Investors

Selecting and investing in multiple assets individually requires higher degrees of research and greater time spent examining price action. This leads to increased portfolio maintenance costs, both in terms of mental energy and gas fees.

Daımon drastically reduces the time spent by DeFi investors monitoring their portfolios. By offering collective investment pools, Treasury investors access economies of scale and a simpler vehicle that allows them to pool capital more efficiently.

✅Greater Access to Complex Investment Strategies

Daımon allows anyone to take advantage of more complex investment instruments and trading strategies. By investing through exchanges, many investors unknowingly forfeit the opportunity to trade the same assets in a more remunerative manner.

This negligence essentially equates to opting out of portfolio management operational efficiencies that require similar levels of risk but offer higher returns. The protocol provides investors with the opportunity to change this.

✅Greater Access to Long-Term Investment Plans

Finally, Daımon enables anyone to gain access to a long-term investment plan. Most Community Treasuries fail to develop any long-term strategy, facing a higher risk of entering investments too late or leaving them too early according to market sentiment.

On the other hand, by adopting a buy-and-hold approach with a diversified and constantly updated portfolio, Community Treasuries and their investors access both the simplest and most dependable way to achieve sustained returns.