Overnight DAI+

DAI+

‘Overnight’ stands for overnight interest rate, the interest rate one receives by lending money for the shortest duration possible - 1 night. Overnight is a DeFi protocol specialising in delta-neutral strategies. Core products include: – USD+ - a 1:1 USDC pegged token with a daily profit payout – ETS - delta-neutral yield generating strategies – Insurance - reserves allocated to cover the first loss on USD+ And now we're about to list DAI+. DAI+ is the equivalent of USD+, pegged to DAI 1:1. DAI+ consist of aDAI (Aave) and USD+. It has been designed for boosted pools (Balancer and Beethoven) on Optimism. It cannot be minted separately. DAI+ is a yield-generating stablecoin yielding 8-12% pa, via daily rebase. It is fully backed by a portfolio of liquid, yield generating, low risk DeFi assets (mostly, lending protocols and stable-to-stable liquidity pools in a way that allows to (1) avoid losses and generate profit every day (2) mint and redeem DAI+ against DAI instantly on request. DAI+ is used for (1) liquidity management - temporary parking of spare stablecoin cash (2) AMM trading and (3) leveraged yield farming. DAI+ brings the benefit of capital efficiency to stablecoin usage, i.e. extra yield on idle stablecoins and/or used in major protocols DAI+ is currently on Optimism, Arbitrum and expanding to other chains. We are going to market by establishing DAI+ trading pairs at leading AMMs: (1) Stablecoin boosted pools on Balancer/Beethoven (2) USD+/DAI+, DAI/DAI+ on Sterling and USD+/DAI+ on Velodrome. The advantage DAI+ has is our ability to maintain the peg without deploying own capital - as DAI+ can be minted/redeemed against DAI instantly, we are able to arbitrage our pools using flashloans, without own capital, thus maintaining the peg.