EntroFi has recently reached a strategic partnership with Hashingbot, a crypto investment management platform, to bring it onboard as a new type of originator. Under the agreement, EntoFi will provide trading liquidity for Hashingbot to leverage its investment operation, which consists mostly quantitative/high frequency trading of crypto currencies.
The trading liquidity come directly from EntroFi’s liquidity layer, which is funded by major DeFi platforms such as Maker, AAVE, and dForce or its own liquidity pool. Vice versa, stablecoin holders from those platforms may also obtain good yield by providing liquidity to Hashingbot’s trading activities.
Quantitative trading or high frequency trading (HFT) of crypto currencies has grown steadily over the past five years, and with total market size already exceeds 1.5 trillion USD, it is arguably the most popular investment method in the crypto world. Given the nature of HFT strategy, access to trading margins in a cost-efficient manner is imperative, and EntroFi considers this as another profitable destination for DeFi liquidity deployment.
This strategic partnership marks the second ongoing attempt by EntroFi to bridge DeFi capitals with real world financing. In late September, EntroFi and digital real estate investment platform UPRETS formed partnership to integrate its tokenized real estate properties onto the asset layer of EntroFi.
Hashingbot is a Hong Kong-based investment team specialized in quantitative trading of crypto currencies, with enormous asset under management.
EntroFi aims to revolutionize the efficiency of financing system by bridging DeFi capitals directly to loan borrowers who use real world assets or native NFTs as collaterals, while on the other end tokenizes those collaterals and bring them onboard DeFi. It operates on three separate layers: protocol layer, liquidity layer, and asset layer. EntroFi envisions a next gen financial ecosystem where capitals transfer freely between on-chain and off-chain with maximum efficiency and minimum hustle.