Voltz Protocol, DeFi’s first interest rate swap (IRS) AMM, becomes the number-one derivative protocol in DeFi with almost $650M of open interest while also surpassing $7B of notional trading volume. Both of these milestones come after launching only 10 months ago in June 2022, thanks to the robust and efficient infrastructure for trading interest rates on Voltz Protocol.
Simon Jones, CEO & Co-Founder of Voltz Labs, said, “It’s been amazing to see the adoption of Voltz Protocol in such a short space of time. Hitting this milestone further reinforces the importance of interest rate swaps within the DeFi ecosystem. That said, there’s plenty more to go and we’re excited about future Voltz Labs initiatives that will further accelerate DeFi’s growth and adoption as the world’s financial system.”
As an open-source, highly composable protocol, Voltz can be leveraged by developers to build dApps enabling a wide range of new products and instruments that weren’t possible before the protocol was launched. These can include on-chain fixed-rate mortgages, loans, savings accounts, tools for risk and DAO treasury management and then more exotic products like swaptions, IRS caps and floors.
In December 2021, Voltz Labs, the entity behind Voltz Protocol, completed a $6M seed round led by Framework Ventures, with participation from Fabric Ventures, Coinbase Ventures, Amber Group, Wintermute, Robot Ventures, Mgnr, Entrepreneur First and Backed among other notable angel investors like Stani of Aave and Kain of Synthetix. Since then, Voltz has launched interest rate markets on and stablecoin yield and borrowing rates from Aave and Compound, ETH staking yield on Lido (stETH) and Rocket (rETH), a GLP yield rate market on GMX, and Liquidity Optimizers with Mellow Protocol that enables users to programmatically deploy capital across multiple LP Pools.
Voltz Protocol is distinct from other IRS protocols in its design, which includes a concentrated liquidity virtual AMM (vAMM) for price discovery, with the management of the underlying assets performed by the margin engine. The combined impact of this structure enables counterparties to create and trade fixed and variable rates through a mechanism that is up to 3,000x more capital efficient than alternative interest rate swap models while also giving liquidity providers and traders significant control over their positions.
To learn more about Voltz Protocol, visit voltz.xyz and follow them on Twitter @voltz_xyz.
About Voltz Protocol
Voltz Protocol provides the underlying framework DeFi needs to become the world’s financial system through its decentralized, transparent, and open-source products. Voltz Protocol is DeFi’s first interest rate swap AMM with more than $7B in notional trade volume. Voltz protocol puts the power of rate trading and liquidity into the hands of everyday traders and developers, ushering in a new era of composable, permissionless, and open-source financial products.