Formation Fi partners with Injective Protocol to create multi-chain risk optimized yield farming derivatives

Formation Fi is excited to announce its upcoming collaboration with Injective Protocol to create multi-chain risk optimized yield farming derivatives.


The integration will focus on creating risk-adjusted yield farming derivatives that will allow a greater number of users to access DeFi yield opportunities with ease.

Formation Fi is a risk parity protocol that constructs custom portfolios to optimize the return to risk ratio. The protocol works via algorithmically rebalancing portfolios based on projected asset risk-reward

The composability of the platform allows users to deploy yield farming strategies across a number of layer ones such as BSC, Ethereum and Polkadot.

“In order for the space to mature, there needs to be a protocol to address these major risk concerns associated with DeFi. This is what we will bring, Formation Fi will bridge traditional hedge fund strategies and wall street tools into DeFi to reduce overall risk exposure to our users. I believe that this collaboration with Injective will open up a lot of opportunities to construct and design optimized yield farming strategies as the world of derivatives opens up,” Krzysztof Gagacki, CEO of Formation Fi.

Last year, Injective launched the world’s first yield farming derivatives on our Solstice V2 testnet which allowed anyone to access derivatives that tracked stablecoin yields on protocols such as Yearn Finance.

Injective’s first yield farming derivative tracked the performance of $1,000 USDT on Yearn Finance’s USDT3pool. Since users can access yield via decentralized derivative contracts, they can circumvent the usual high fas fees or complex interfaces that tend to hamper DeFi adoption.

“On our Solstice V2 testnet, we presented users with the opportunity to take part in yield farming derivatives. The collaboration with Formation Fi will enable Injective users to launch new risk optimized derivatives markets with ease, which would again help abstract away many of the convoluted steps required to earn yield today on DeFi protocols,” said Injective CEO, Eric Chen.

About Formation Fi

Formation Fi creates a new risk-adjusted portfolio of decentralized open financial crypto assets in the form of algorithmically rebasing indexes, with a high degree of composability, across the major blockchain networks. Formation is backed by Synthetix, Polygon, and a number of major funds in the crypto space.

About Injective Protocol

Injective is the first decentralized multi-chain exchange protocol that unlocks the full potential of decentralized derivatives and borderless DeFi. Injective enables access to unlimited decentralized markets for futures, perpetuals, spots, synthetics, and much more. Injective is backed by a prominent group of stakeholders including Mark Cuban, Pantera Capital and Binance.

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