About Revest Finance
Revest Finance is a protocol for packaging, storing, and transferring ERC-20 tokens as non- fungible financial instruments. User may deposit ERC-20 tokens into a contract and mint a Financial NFT (FNFT) that give the holder the right to retrieve the deposited tokens once the specified conditions are met. Until these conditions are met, the FNFT remains locked. FNFTs use the ERC-1155 token standard and are tradable.
There are 3 different types of lock conditions that the minter may select from:
Time Locks are locks that unlock when a specified date has been reached and can be used for token vesting structures, endowments, gifts etc. The deployer specifies a date or time-range for the FNFT to be unlocked and allows the deposited tokens to be redeemed.
Value Locks are locks that unlock when the value of one asset (primary asset) relative to another asset (comparative asset) either rises above or falls below a price chosen during minting. Both assets are selected by the creator during the minting process, and the creator does not need to own either one of them. This design includes use-cases such as vesting based on token value maximization, price stabilizations
Address Locks can be customized to use an Ethereum address as a specific trigger to unlock an FNFT. Locks can be triggered by any set of inputs that exist on-chain.
In all instances, the holder of the FNFT is the party that can redeem the underlying tokens deposited therein.
The Barriers that Revest Finance faces
Revest faces a liquidity issue. Users are not willing to deposit assets into an FNFT and forgo the benefits of selling their liquid assets at a convenient time. In a market that prides itself on liquidity, the absence of such should be compensated with a liquidity premium. Revest finance is a financial primitive that does not offer any such premium but is relying on future market creation to fill this role. Pilgrim can fill this gap for all FNFT users.
How could Pilgrim help
Primarily, Pilgrim could help in allowing FNFT owners to earn yield on their illiquid collateral while allowing such FNFTs to be valued in real-time, making the Meta NFT of a deposited FNFT available to be used in a composable manner in other markets.
Individuals that have a long-term commitment to projects and have locked their tokens, may take advantage of earning substantial yield on passive FNFTs, while they remain locked.
Projects that are paying out their tokens according to vesting schedules can allow the recipients to earn rewards with Pilgrim, or accept buyouts until the unlock conditions are met.
How does Pilgrim benefit
The short answer is: Anything that brings TVL and round trading to Pilgrim is advantageous to the protocol!
The FNFTs contain underlying assets, so the intrinsic value of FNFTs therefore fluctuates constantly depending on the value of the tokens contained therein. Round traders should constantly be adjusting their positions to maintain the parity value that is reflected by the underlying value, contained within the FNFT.
Currently, Revest has a TVL in FNFTs at an equivalent of USD 30.5 million.
What kind of Partnership?
The partnership should be designed to induce FNFT holders to deposit their positions in Pilgrim.
This could be achieved by offering increased multipliers in rewards for FNFT depositors for a brief period to help bootstrap volume. Even if such is not possible,
FNFT holders should become aware of Pilgrim through announcements/articles that illustrate the benefits. This could bring about further positive network effects for Pilgrim in the longer term.
I have briefly spoken to a person in charge of partnerships for Revest and they have shown some interest but would like to discuss it further via a call. I realize I may have been wrong for talking to them before getting clarification whether something like this is desired, needed, or even possible for Pilgrim, or whether something like this should not warrant a partnership, but should occur organically. Either way, I would love to hear the thoughts of everyone involved.
More information about Revest can be found here: