Structured Products in DeFi

Structured Products are financial instruments wherein different derivatives like options, perpetual, bonds, and interest rate products are combined into a single product to achieve non-traditional return configurations.

DeFi composability is a similar phenomenon wherein different tokens, tokenized derivatives, vaults, pools, and protocols can interface with each other in a permissionless manner to build entirely new products.

Innovation of structured products in DeFi will enable a range of risk configurations for different segments of investors. Products can be personalized to suit the investor’s goals and aspirations. This will welcome the higher participation of HNIs, FOs & institutions in DeFi LP provisioning.