Coinstancy Investment Manifesto (CIM)

We focus investments on stablecoin-to-stablecoin pools to maintain the capital’s value stable.

The yield comes from three mechanisms:

• Swap fees generated within liquidity pools,

• Interest rates from lending protocols,

• and Incentives distributed by certain protocols.

Earnings are collected and automatically reinvested, enabling compound yield without speculative exposure to volatile assets.

The DOLLAR and EURO Pools use the same approach, adjusted to USD or EUR stablecoins depending on liquidity and collateral transparency.

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_{CUSTOMER FUNDS COVER}

Customer funds are covered by OpenCover and Nexus Mutual for 100% of their value deposited on Coinstancy, with no limit on the amount. The scope of coverage can be viewed by following this link.

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_{PROTOCOLS USED}

The selection of protocols is based on:

• Liquidity,

• Security track record,

• Quality of governance,

• and the review of available audits.

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_{STABLECOINS USED}

We prioritize over-collateralized stablecoins or those with proven stabilization mechanisms, when liquidity allows.

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_{CROSS-CHAIN INFRASTRUCTURE}

To access the best available yields, funds may be allocated across Gnosis, BNB Chain, Optimism, Arbitrum, Polygon, Base, Ethereum, Monad and Alephium.

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_{SECURITY & CONTROLS}

• Fund custody: Multisignatures wallet Safe or Circle Wallet.

• Traceability: weekly report + on-chain transparency.

• Insurance: complete coverage through Opencover.

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_{RISK MANAGEMENT}

Each protocol receives an internal risk score from 0 to 5 based on security, liquidity, and governance. Allocation is capped at 50% per protocol (completely covered by an insurance) and 40% per stablecoin type to avoid concentration.

Rebalancing is done gradually to adjust positions without abrupt movements. We prioritize over-collateralized stablecoins when available.

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_{WHY THIS STRATEGY}

Our approach focuses on stablecoin-to-stablecoin pools to limit volatility and maintain stable capital value. Yield is generated from three transparent sources: swap fees, lending interest rates, and protocol incentives.

We select platforms based on liquidity, security track record, and auditability, which reduces technical and market risk. Allocations are capped per protocol and per stablecoin to prevent excessive concentration. Gains are automatically reinvested to achieve compound yield, without speculative exposure.

The entire process is controlled through multisignatures and partially insured, ensuring long-term operational security.