What is Statera?

Statera is a relatively new project in the recently revitalised DeFi (decentralised finance) space. Projects in DeFi often focus on providing entirely decentralised financial solutions such as lending, exchanges, stablecoins and much more. Statera is trying to bring automatically balanced index funds that are carefully selected for low risk and high returns. There are currently 3 active index funds offered by Statera. The Phoenix fund is the main index right now, consisting of 6 high-performing and proven cryptocurrencies. There are also 2 funds that allow you to hold ETH as well as Statera’s native erc-20 token STA, one of them offers an even split between the two coins and the other offers a 25/75 split weighted towards Statera for investors who wish to hold the majority of their portfolio in STA.

         Statera infographic showing how it rebalances the assets in an index fund

How can you benefit from Statera?

Statera offers their index funds on two popular decentralised exchanges based on the ETH chain, those being balancer and uniswap. For both exchanges you can organically earn fees over time from people using the exchange when you provide liquidity or join a Statera index fund. In addition to gaining fees over time, Statera proves itself as a deflationary token where all STA transactions burn 1% of the total value that can never be gotten again. For example, if someone wants to send 100 STA then the transaction automatically burns 1 STA to slowly reduce the number of tokens. This in turn obviously decreases the supply of the STA token which provides positive price pressure over time. Statera is also very easy to get into for any person who is even slightly familiar with cryptocurrency, which allows these index funds to be highly accessible to as many people as possible. Currently expected returns are 30-600% yearly which is very high compared to other relatively low risk investments in the cryptocurrency space.

The Future of Statera

So, what does the future hold for Statera? The answer is many things. The Statera project first off is going to be adding many new index funds in the future, further expanding the options and utility offered to investors. But that is simply the start, many fans of the project including myself are starting to already think up of various new ideas that Statera can implement. For example, similar to the already existing funds STA can develop a savings account, similar to centralised services such as Nexo or Blockfi. This would allow STA token holders to get returns on their token over time through a multitude of ways, from receiving interest on loans all the way to allowing STA holders to split their STA automatically through personally chosen index funds. In addition to this the fact that the token deflates in supply overtime should create a token that is relatively stable in price and possibly even slowly increasing.

There is also a very interesting future use-case where the Statera project can integrate with other DeFi tokens to bring new and interesting ideas to the table. For example, integration with the newly developed Datamine network that aims to provide massive analytics for the DeFi space, and especially for the decentralised exchanges that STA works on. With the integration of such valuable analytics into the STA funds they can provide higher returns and less risk as percentages and assets are adjusted over time based on real-time data. Another interesting idea is an integration with Maker DAO that would allow DeFi users to actually vote on which index funds they wish to see implemented in the future, this not only allows more opinions to be heard, but also further decentralises the project. Many other integrations are also possible with platforms such as Compound and Synthetix to provide many services that are able to benefit not only STA users but also the users of these other platforms.

                 Statera's possible integrations with other DeFi platforms

Apart from integrations with other projects Statera can also develop its own systems that attempt to bring over traditional financial instruments into the cryptocurrency DeFi space. Instruments like trading signals based on the activity of the STA index funds are a highly viable idea that could provide actual real-world data on the supply and demand of STA and the various currencies in its index funds.

These are only a few ideas of many more that can be implemented in the future of the Statera project which is largely promising. The project already provides a very interesting concept that is largely viable in the upcoming DeFi revolution. However, the ability of the token to provide much more services and utilities in the future truly allow the platform to have near limitless potential in the future.

Thank you for reading my article regarding the Statera project, I was highly interested in it due to its current unique ideas and the high future potential. I suggest you check out the project’s own blog here on P0x and their account on twitter.