Exploring Friktion DeFi Options Vaults – SOL & mSOL Volts

The Solana protocol Frikition was founded by young and brilliant engineers Uddav & Alex to help individuals, institutions and DAOs manage their crypto protocols. It is not the largest options protocol on Solana but also the third largest options protocol across all blockchain networks with over 81.87m in total value locked. In of the recent interviews, Uddav said

We want to bring the best of TradFi to DeFi. We want to onboard the next billion users who have no idea what DeFi is and are moving down the risk spectrum and getting traditional products more comfortable with the risks of DeFi and education

If you are new to Options and Covered calls, check this education video by one of the Friktion’s partners

In this post we are going to explore the deposit to SOL and mSOL Vaults (volts as per Friktion’s terminology) and track the growth of users. These two vaults are providing 38.6% APY and 28.9% APY respectively as of writing this post.

Lets us start with SOL vault and check the deposits to the vault since Feb 4th 2022 which started with a 2,000 SOL deposits. In the subsequent 13 days, the size of volume grew to 15,000 SOL and that is an astonishing 7X compared to Feb 4th.

How about the user growth on SOL vault. The following chart shows the new users depositing SOL tokens to the vault. Feb 4th started with attracting 50 users and then on attracting new users at an impressive pace. As on 17th Feb we have 602 users with over 15,000 SOL token deposits in the Frikition SOL vault.

What about mSOL volt deposits? The following chart shows the mSOL deposits into the Frikition volts starting Feb 4th 2022 to Feb 17th 2022. As you see in the charts, 237 mSOL tokens were deposited on Feb 4th and it grew by impressive ~10X by Feb 17th with deposits over 2,370 mSOL tokens. You can also see the user growth on mSOL volts during the same period in the charts following this section.

SOL vs mSOL Volts

Lets us compare the deposits to SOL & mSOL volts as well as the new user growth among them in the following charts. As you see SOL volts are dominating and attracting a lot of users as well as SOL deposits. SOL volts attracted 7x more deposits compared to mSOL volts and the users on SOL volts are roughly 9x of mSOL volts.

Leave a Comment

Your email address will not be published. Required fields are marked *