What is TokenSets?
TokenSets brings automated asset management to crypto. There are two types of trading strategies available: Robo Sets (which are based on algorithms created by the Set team) and Social Trading Sets (which are built by a trader). Both are decentralized - meaning you remain in control of your assets. To get exposure to a strategy you simply buy a token that represents a portfolio of assets managed according to that strategy.
Why does it matter?
Set's CEO Felix Feng says Set: "inherits all the benefits of DeFi [decentralized finance]. It's accessible, it's 24/7, it's global, it's permissionless, and every trade & transaction can be tracked on the blockchain.”
The project aims to "help people easily buy an asset that does all of the smart management for the user holding the Set", according to Set's Chief Product Officer, Inje Yeo.
Set Protocol currently has over $17m USD worth of assets locked into its smart contracts.
How can I use TokenSets in Argent?
You can use TokenSets in just a tap or two. Download Argent or open the Invest tab in Argent, choose which Set you want to buy and how much, and you're done.
It’s worth noting that not every Set is available in Argent today, but we are adding as many as possible soon - along with performance tracking.
How does it work?
Portfolios of digital assets (like Ethereum and DAI, a stablecoin) are represented by Set Tokens (or 'Sets'). Each portfolio is managed according to a specific trading strategy. For instance, by automatically exchanging between Ether and USD according to the moving price average. Some of the approaches available include trend trading, range bound, and buy and hold sets. You can explore them all here.
🤖 Robo Sets
These are automated portfolio management strategies that trade according to rules encoded in smart contracts.
Robo Sets therefore differ from traditional robo-advisor platforms, such as Betterment, who ultimately hold custody of your assets.
🧙 Social Trading Sets
These let you follow the trading strategies of other individuals.
Traders can set a small fee for their Trading Sets, and with TokenSets' Leaderboard feature anyone can compare and track the performance of the strategies on offer.
How can I get started?
Get started easily with Argent.
Where can I go to learn more?
- Start with Set's FAQs. There are then more details on Sets in this 'how to'.
- For the more technical side, their whitepaper is here.
- Check out their intro video for more details.
- Follow their Twitter and join their Discord
You use TokenSets at your own risk. You can read their two independent audits from ChainSecurity and Trail of Bits. When portfolios rebalance there can be slippage due to changing ratios of collateral