Introduction
Tymio DSPP is designed to provide crypto holders with the ability to generate passive income using tailored financial products. The protocol offers limit orders with yield, based on options strategies, enabling users to profit without active trading. Built on top of decentralized and centralized options markets, Tymio aims to become a permissionless, non-custodial platform through progressive decentralization. It focuses on providing simple, effective financial tools to individuals seeking low to moderate-risk returns.
Background and History
Tymio was created to address the complexities and limitations of existing DeFi products by offering structured solutions tailored to individual users. Traditional products like dual investment or option vaults are often rigid and not customizable. Tymio overcomes these limitations by allowing users to set custom price levels and durations for their trades. Initially leveraging liquidity from CEXs, the protocol plans to transition to decentralized liquidity sources by 2024. Tymio’s roadmap reflects a phased approach, with milestones including the transition to Layer-2 networks, decentralization, and ultimately becoming a DAO.
Key Features & Contributions & Technologies
- Limit Orders with Yield: Users can create time-bound limit orders to sell or buy ETH/USDC at custom prices, earning fixed yields regardless of market execution.
- Option-Based Yield Generation: The platform utilizes premiums from options traders as a source of user yield.
- Smart Routing and Hedging: Upon execution, Tymio hedges positions through connected liquidity sources, reducing market risks.
- Decentralization Roadmap: Tymio aims to become fully permissionless and non-custodial by 2024, integrating decentralized option liquidity.
- Transition to DAO: The protocol plans to conduct a Token Generation Event (TGE) to shift governance to the community.
Usage and Applications
Tymio offers two primary strategies: “Sell-High” and “Buy-Low”. These strategies allow users to either sell assets above current market prices or buy assets below market value, all while earning a fixed yield. This structure eliminates impermanent loss, offering a more predictable return compared to farming protocols. Users can repeatedly create these contracts to generate stable cash flows. Additionally, Tymio’s yield strategies serve as a viable alternative to staking, farming, and option vaults, with less complexity and better customization.
Governance & Tokenomics
Tymio’s roadmap includes a Token Generation Event (TGE) planned for 2024, transitioning the protocol to a DAO. Community governance will empower token holders to influence decisions, propose changes, and participate in protocol development.
Notable Events
- Q2 2023: Launch of the ETH/USDC “Limit Order with Yield” product using CEX liquidity.
- H2 2023: Expansion to Layer-2 networks like Arbitrum and Optimism, incorporating new assets such as BTC and USDT.
- H2 2024: Full decentralization with DEX liquidity integration and the launch of new option and futures products.
- H2 2024: Transition to DAO governance following the TGE, empowering the community to take ownership of the protocol.
