Crypto lost $2.2B in 2024; trust is the new alpha. XSY turns on-chain risk into trusted yield with a vertically integrated approach

A barrage of announcements in recent months has revealed real, actioned pursuits of crypto. Major tech companies with dormant crypto arms are rumored to be considering revivals. Traditional brokerages have built up retail-facing crypto products just as crypto exchanges are announcing support for public equities trading. Banks, once the biggest critics of stablecoins, are now noticeably bullish and openly speaking about upcoming internally developed stablecoin launches. The convergence of service offerings is beginning to blur the line between what is crypto and what is traditional finance.

From Fringe Ideas to the Boardroom in 18 Months

• Spot ETFs have attracted $53.5B in net inflows since January 2024.

• Tier-1 banks now offer Bitcoin & Ether custody alongside equities and bonds.

• Global asset managers advise allocating 10–40% of portfolios to digital assets

We’ve reached crypto’s Netscape moment: rails finally welcome serious capital on-chain.

Great Adoption Requires Great Responsibility

Adoption requires simplified access, reduced complexity, increased transparency and the development of yield-bearing products that are battle tested by experienced teams who deeply understand both traditional finance and crypto dynamics.

The decade that birthed DeFi also birthed a wreckage list: Mt. Gox, Voyager, 3AC, Luna, Celsius, FTX. Add a UX so convoluted it can take 37 clicks to buy a token and you get fragmented liquidity, hidden counter-party risk, and lingering institutional hesitation.

“We spend more time evaluating crypto counterparties than forecasting revenue.”
— Head of Treasury, LiquidX (XSY partner)

The industry's failure has fragmented access, compartmentalized trust, increased counter-party risk and eroded yield for all participants.

Specifically institutional investors, large crypto holders, treasuries, retail, regulators, exchanges and market makers who want to be a part of a trusted system simply can’t navigate the market in order to credibly and consistently realize value.

There is no question that both large-scale institutional and retail growth are contingent on a major step-change in simplifying the system.

Just as commonplace internet actions like retrieving information once required a grasp of the command line, a fully scaled crypto world will require a meaningful level of safe abstraction.

Until a vertically integrated stack collapses these layers, capital will stay on the sidelines.

The Path Forward: Back To The Future

For those in the institutional finance space, it has long been the norm to both back-test and sandbox strategies to collect sufficient performance data. Only with the collection of this data can a battery of risk assessments, return profiling and product refinement happen. The fund management space is an excellent example of this process. A budding fund manager must first demonstrate his or her abilities in an existing fund structure - and later a carve-out or test portfolio. Only after successfully demonstrating a verifiable track record of fund deployment with live funds would a talented fund manager be given a personal book or standalone fund.

As institutions integrate themselves into the fabric of crypto, the standards of excellence will naturally begin rhyming with those in traditional financial organizations.

XSY’s vertically integrated development stack will efficiently scale promising trading strategies to institutional-grade products the traditional finance market confidently accepts.

XSY’s Integrated Stack: Originate→ Curate→ Distribute → Govern

Built by industry veterans with a track record of scaling sophisticated trading strategies and layer-1 protocols, XSY is the Yield Infrastructure for the Digital Dollar Era. XSY’s vetting process enables the discovery of frontier trading strategies that finance professionals consider investment-grade.

The XSY team has proven experience managing trading desks running multibillion dollar books in heavily scrutinized environments. The team also brings an intimate understanding of the unique needs of treasuries, having managed over $20B in stables and nine-figure treasuries for both on-chain and traditional financial institutions.

XSY is uniquely positioned to originate, curate, and distribute proprietary digital-asset strategies end-to-end. XSY designs the strategies, runs the risk “launch checklist,” and delivers the yield all via one platform.

This approach means there are no third-party hand-offs, minimizing of blind spots. This creates the trust infrastructure that the industry needs for its next phase of evolution.

XSY Yield Lab — FAFO (Founders And Family Office)

Early traders of crypto saw immense gains because they explored trading strategies early, before competition narrowed spreads. In a changing market landscape, nimble capital management means actively pursuing and managing frontier yield strategies. The XSY yield pipeline process came as the result of testing a multitude of trading strategies using the founders’ personal capital and selecting the best risk-adjusted strategies that perform over time.

Every strategy that XSY launches begins life in the Yield Lab. XSY stress-tests concepts and yield strategies in the market to generate a sufficient track record to demonstrate performance both internally and to our partners.

The goal of the Yield Lab is to enable access to advanced strategies, which historically have been inaccessible to the broader market due to their cost or operational complexity.

Only when a strategy clears risk, liquidity and governance hurdles does it graduate to a tokenized vault governed by $XSY holders.

As evidenced by XSY’s flagship product, Unity ($UTY), achieving +38M of deposits in ~30d, the core strategy was tested with the founders’ family office capital. This means that expected Unity performance is not a mere guesstimate but a projection based on battletested data. In a world where testing is rare, XSY raises the diligence expectations for the entire space.

Originate  -->  Curate  -->  Distribute  -->  Govern

↑                      |                      |                      |

└─────────┴────────┴────────┘

Continuous Feedback & Risk Telemetry

Traction to date

• $50MM seeded across 3 core strategies

• 11.12% realized APY

Why It Matters: Value for Every Stakeholder

By uniting origination, curation, and distribution in one vertically integrated stack, we transform experimental DeFi code into market-tested financial tools that depositors can understand. What began as a family-office lab is now a platform where every vault is seeded with our own capital, audited in real time and governed by the partners who rely on it. Here’s what that means for each corner of our ecosystem:

Bringing It All Together

XSY is more than a series of digital yield-bearing products; it’s market infrastructure. Depositors, distribution partners, and token-holders plug into a common language of trust, delivering yield without sleepless nights.

Reach out for a 30-minute portfolio call to learn how your balance sheet can benefit.