Recently, Public Mint, a fiat-based blockchain and payments infrastructure company revealed it has partnered with Abra which is a wealth management platform in the cryptocurrency space. The collaboration will offer attractive yield opportunities to users of Public Mint’s EARN program where a portion of funds is allocated to Abra, thereby offering an additional source of yield in the CeFi category.
Public Mint provides a payment system and access to DeFi opportunities. Its EARN program allows users to tap into automated and diversified yields while reducing risk and complexity. It's basically an end-to-end platform for synthetic fiat.
Abra, on the other hand, provides financial solutions enabling customers to manage and grow their crypto assets. It has an application where users can transact, invest and earn yield of cryptos and stablecoins, while providing OTC (over-the-counter) trading and lending solutions to institutional investors.
The EARN program is expected to launch in Q3 of 2021 and will accept USD and stablecoin deposits which will be deployed across multiple yield-generating opportunities across DeFi protocols as well as crypto lending platforms.
A diversified portfolio will lower overall risk letting the EARN program offer competitive earning rates, simultaneously granting access to a wide network of reputable partners. The primary goal of the program is to provide an opportunity for every user to take advantage of generous yields irrespective of their knowledge of these digital assets.
When the user stakes USD on the EARN program, they will receive a corresponding amount in USD+ which is a liquid, earnings-bearing synthetic fiat currency. Generally, similar DeFi solutions track earnings based on a particular token that has a volatile and fluctuating exchange rate. However, earnings accrued under EARN are distributed to participants as additional USD+, making it easier to track returns.
Paulo Rodrigues CEO said, “Abra is one of the earliest and most trusted brands in cryptocurrency, and we are excited to be partnering with such an established provider to offer a reputable source of earnings to Public Mint users via the EARN program. Our strategy is designed to be as diversified, secure and lucrative as possible, and partnering with Abra is another important step towards that vision.”
The EARN program can be likened to a bond-based ETF or exchange traded fund. Here, you are exposed to a variety of fixed-income instruments that will allow investors to generate a steady stream of passive income and diversify overall risk by a significant margin.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.