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Varys Capital

Varys Capital

Global, multi-strategy digital asset fund and market-maker
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Varys Capital Venture: Silicon Valley Meets The City of Gold

The United Arab Emirates' venture capital market is experiencing a surge in funding for tech startups, fueled by government initiatives and an entrepreneurial ecosystem. The total capital raised in 2024 is projected to exceed US$1.1B.
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Why Plant Your Flag in Abu Dhabi: Is The Abu Dhabi Global Market (ADGM) All It’s Cracked Up to Be?

Coined the “Capital of Capitals,” Abu Dhabi is the ideal domain for entities looking to register in the UAE, and with good reason. With 1,905 registered entities, 291 of which are associated with financial services, the workforce grew to over 25,000 individuals, and 71% of companies anticipate an expansion.
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Investing in Blueberry: The Prime Brokerage of DeFi

As early as 2018, Compound and Aave were the first to introduce permissionless money markets creating pillars for what we know today as DeFi. Yet, after almost four years, little progress has been made for leverage-based DeFi primitives to rival the capital efficiency traditional finance offers. For instance, in traditional finance, prime brokerages offer high-leverage yield products sourced from various avenues. Prime brokerages require undercollateralized lending to provide these services; however, protocols like Aave and Compound, fall short because of low loan-to-value caps, limiting users' ability to fully leverage yield products. This gap results in less liquidity, as LPs are hesitant to take on smart contract risk for low yields. Currently, DeFi growth is bottlenecked by a lack of prime brokerage infrastructure. While existing iterations of decentralized prime brokerages have gained traction, many struggle with generalized leverage, leaving a need for additional prime brokerage infrastructure with protocols such as Blueberry.
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UAE’s Growth Appeal: What Can Santa Claus and Traffic Tell Us About Growth Potential in a Market?

Despite bold predictions and forecasts, the UAE's growth trajectory is unfathomable.
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Investing in Ledger Works: Web3’s Risk Control Center

One of DeFi’s defining features is the absence of intermediaries. This offers immense benefits but also shifts the onus of risk management onto users and, ultimately, onto the protocol and its infrastructure. With the rapid evolution and increasing complexity of DeFi, comprehensive risk management solutions are more crucial than ever, as evidenced by the many smart contract audits conducted. While auditing remains a required component of Web3 security, it's essential to acknowledge its limitations, as evidenced by the occurrence of 167 major exploits estimated to amount to $3B+ in 2022, half of which involved audited smart contracts.
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Team Construct: Wall Street’s Water Cooler Joke Has The Last Laugh

Why are professionals from traditional finance crossing the bridge into digital assets?
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The Most Overlooked Consideration When Entering a Market

When a foreign fund embarks on the challenging market penetration process, considerations such as investment thesis, offering differentiation, message localization, marketing efforts, and scalability are at the top of the heap, with good reason. Still, one topic rarely discussed holds immense weight in corporate positioning.
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Fantom Sonic: The Revival of the Ghost Chain

Since Ethereum’s launch in 2015, every few years, crypto speculators shine a spotlight on new chains dubbed as “ETH killers”, which promise significantly higher performance than Ethereum. These monolithic blockchains are generally marketed as the be-all and end-all of smart contract blockchains integrating consensus, data availability, and transaction execution into a single layer. They claim to handle thousands to hundreds of thousands in transactions per second (TPS), a stark contrast to Ethereum’s base layer throughput of 15 TPS. Today, amid sentiments of a bull market, the Fantom blockchain emerges as a particularly notable example.
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Investing in SteakHut Labs: The DeFi Liquidity Layer

Publisher
Varys Capital
November 15
Uniswap introduced concentrated liquidity in March 2021, bringing new levels of capital efficiency to DeFi and AMMs. Unlike previous AMMs, however, Uniswap v3 pools require some level of market-making to maintain liquidity around active price ticks. Early innovators such as Arrakis Finance made it easy to “set and forget” Uniswap v3 liquidity, but the onset of new concentrated liquidity models introduced a need for additional market-making infrastructure, such as SteakHut Liquidity.