Delphi Ventures (Delphi Digital) Fund Overview & Investment Trends

Delphi Ventures is a well-known investment fund in the Crypto market. So what is the portfolio of this fund? What is the investment trend?

Delphi Ventures Overview

Delphi Ventures is a new division of the Delphi Digital company. They focus on developing projects together, analyzing data and interviewing key personnel, providing long-term financial and intellectual capital for promising projects in the Crypto sector.

Delphi Digital is a leading Research company for individuals and institutions.

They approach the market using dynamic, multidisciplinary approaches that combine traditional pricing methods and economic principles with concepts specific to decentralized systems.

Learn more: Delphi Ventures Investment Thesis

Overview Portfolio of Delphi ventures

Below is an overview of Delphi Ventures Portfolio.

Delphi Ventures Portfolio Overview

In general, Delphi Ventures invests in important sectors in DeFi such as: DEX, Lending & Borrowing, Layer 1, NFT, etc.

Layer 1

The Layer 1 ecosystems that Delphi Ventures has invested in are: Terra, Solana, Thorchain & Pontem Network. In general, these platforms will likely build protocols and Dapps on top of them to increase adoption of the native platform.

In there:

• Terra and Thorchain are built on Cosmos.
• Pontem Network is built under Polkadot’s Substrates Framework and plans to become the Parachain of Kusama Network.

DEX

DEX (Decentralized Exchange) are cryptocurrency exchanges built and operated in a decentralized manner on the Blockchain platform.

In this array, Delphi Digital chooses dYdX, one of the most famous Perpetual Swap at the moment next to Perpetual Protocol.

The year 2021 is one of the important milestones of dYdX, when the project conducts an Airdrop for users, but the strange thing is that the price did not dump too deeply, but on the contrary, there was tremendous growth.

In addition, Trader Joe’s is also an interesting deal, when Delphi Digital did not invest at the beginning (Trader Joe has done Fair Launch since launch).

Finally, there is Astroport, a potential DEX on Terra with a multi-pool model like the Trident version of Sushi.

Lending & Borrowing

Lending is a form of users using their assets or money to lend to other people (Borrowers) at a certain interest rate. Lending & Borrowing is one of the arrays with not many projects in Delphi Digital’s investment list.

• Anchor (Liquidity Pool) is a Money Market Protocol with similar functionality to Compound built on Terra.
• Alchemix (Yield Optimizer) provides users with instant, flexible and self-repayable loans over time.
• Mars Protocol is the first Money Market protocol on Terra.
• APWine (Yield Optimizer) allows users to tokenize their profits into Tokens. This allows Farmers to trade interest rates.

Farming

Yield Farming is about users trying to generate as much profit as possible from their crypto assets, through providing liquidity for DeFi protocols. Prominent in this segment are Harvest and Alpha Finance Lab.

• Harvest Finance (Yield Farming) is an automated Yield Farming protocol created for users who want to use their assets to create a Farming opportunity with high APY.
• Alpha Finance Lab is an ecosystem of DeFi products that will link together to maximize profits while minimizing risks for users. Alpha products are focused on capturing the unresolved need in DeFi in an innovative and user-friendly way.

Derivatives

Derivatives are contracts for financial transactions between two or more parties, based on the future value of an underlying asset. This is also an area that I find Delphi Ventures quite focused on.

It is worth noting that all of these derivatives platforms have yet to launch products:

• Arrow DFMs provide an efficient decentralized settlement systems that allow users to create Options for any asset with a public asset price.
• Charm is a decentralized Option Platform and allows users to create, trade and provide liquidity of options contracts through the AMM mechanism.
• Vega is a decentralized infrastructure that allows anyone to create Derivatives products and related marketplaces.

NFT

NFT is a unique token and cannot be replaced by other tokens. This can be a virtual asset or a digital version of a real-world asset. Since each NFT is unique and they are NOT interchangeable, they can act as proof of authenticity and ownership in the digital realm.

With the explosion of NFT in 2021, Delphi Digital also owns many projects in this field:

• NFT Gaming: Axie Infinity, Illuvium.
• And NFT Exchanges: Recur.
• NFT Infrastructure: Fractional, Upshot, Yield Guild Games, Ember Sword.

Other areas

Of course, in the portfolio of Delphi Ventures there are many other projects in many different fields, due to the lack of relevant data, I do not mention much:

• Platform Fund: DeFi Alliance.
• Query: Covalent.
• Wallet: XDEFI.
• Insurance: Armor, Nexus Mutual.
• Assets Management: Syndicate Protocol.

Ecosystems in Delphi Ventures’ Portfolio

In general, Delphi Ventures invests mainly in Ethereum, but they also invest in prominent projects in other ecosystems:

• Ethereum Ecosystem: Axie Infinity, Armor, Fuji Finance, Uniswap, Charm, Empty Set Dollar, Frax Finance, MCdex,…
• Solana Ecosystem: Solana, Solrise.
• Cosmos Ecosystem: Terra, Anchor, Thorchain.
• Polkadot Ecosystem: Pontem Network.
• Avalanche Ecosystem: Arrow DFMs.

In addition, there are projects that follow the Multichain concept or support more than 1 chain: Alpha Finance, Sushiswap, Covalent, Harvest Finance, Thorchain, Zapper, Vega.

Of all the ecosystems that Delphi Ventures is investing in above, I feel that Ethereum and Cosmos (Terra, Thorchain) are the two ecosystems that they are focusing on supporting the most:

• Ethereum: Shown right in Delphi Ventures Portfolio (1/2 of active projects per Ethereum). In addition, Delphi Ventures is also very bullish on launching Layer 2 scaling solutions for Ethereum (Arbitrum, Optimism, Starkware,…). They are also very active in producing Layer 2 related content to their community through Delphi Insights.
• Terra, Thorchain: In addition to being an investor, Delphi Venture also directly supports building 2 ecosystems for Terra and Thorchain. For example, they are working with Terra and IDEO CoLab to start a Hackathon focused on building Dapps/Protocols for DeFi on the Terra ecosystem.

Delphi Ventures Portfolio Review

Performance

The top 5 projects with the best performing Tokens (price of ATH compared to ATL) are:

• THORChain (RUNE): 245.529%
• Axie Infinity (AXS): 129.166%
• Solana (SOL): 42.60%
• Terra (LUNA): 41.416%
• Alpha Finance (ALPHA): 11.269%

The Top 5 Top 5 projects with the best performing Tokens from the beginning of 2021 (ATH price 2021 compared to the price of early 2021) are:

• Axie Infinity (AXS): 31.113%
• Solana (SOL): 17.102%
• Terra (LUNA): 11.958%
• MCDEX (MCB): 2.566%
• THORChain (RUNE): 1.783%

Investment trends of Delphi Digital

In 2021, Dephi Digital invests in more than 20 projects with a rate of about 90% all in Seed Round, which are:

2021 is really the “showtime” of NFT with the majority of the heat coming from the Play to Earn trend. Following the trend, looking at Delphi Digital’s Portfolio, we see that almost 50% are in the Gaming segment, including Axie Infinity, Illuvium, Ember Sword, Yield Guild Game.

The interesting thing is that Yield Guild Game is not a game, but a Guild – gathering players together to share profits.

This shows, Delphi Digital also thinks that Gaming is not a short-term trend, because ordinary guilds will initially have to spend a lot of money to support players, most of the profits are not directly in the hands of investors. , which are used for reinvestment.

In addition, Delphi Digital is one of the active investors in the Terra ecosystem, when almost every project launched has their logo attached. For example, Orion Money, Astroport, Mars Protocol, etc.

This shows that Delphi Digital also believes in Terra in the near future.

Summary

All in all, Delphi Digital is aiming for a multi-chain future, which is reflected in their portfolio and the way they communicate.

In addition, they are not too conservative, but still see the future trend through Gaming deals or other Layer 1 deals.

What do you think about Delphi Digital’s Portfolio? With projects like Solana, Terra, or Axie Infinity, can it be said that Delphi Digital has been very successful in investment? Please share your comments below.