Gro DAO was launched in October 2021 with the aim of making DeFi and Web3 more accessible.
It believes that financial systems should be secure, transparent, accessible, and fair for all (irrespective of geographic location, socioeconomic status, or identity). By leveraging the power of Web3, it aims to create an open and permissionless suite of products that puts the power of financial decision-making back in the hands of its users and promotes a more equitable and sustainable financial system for all.
Furthermore, Gro DAO wants to empower people to easily create and share wealth, by combining the best of decentralized and traditional finance. Accordingly, its products deliver value propositions only seen in DeFi with user experiences from TradFi and consumer tech.
Decentralised Finance (DeFi) lets people use stablecoins to profit from emerging financial services, without betting on the price of cryptocurrencies like Bitcoin or Ethereum. DeFi is reinventing traditional financial services like lending, trading, and insurance as open and transparent protocols. Protocols allow for faster innovation and permissionless integration which drive efficiencies that ultimately deliver more value to people. But DeFi still requires technical expertise and has become exclusionary as a result.
Gro DAO has built and maintains a stablecoin yield aggregator called Gro Protocol, which offers access to leveraged stablecoin yields and protection. It does this by autonomously optimizing a range of market-neutral yield strategies (such as lending income, trading fees from Automated Market Makers, and protocol incentive farming), allowing users to earn higher stablecoin returns while setting a risk threshold they are comfortable with.
The protocols encompassing risk and yield-tranched products are the PWRD stablecoin (PWRD) and the Gro Vault Token (GVT), between which, deposits are algorithmically and non-custodially allocated to a set of DAO-approved strategies. GVT receives a higher proportion of underlying protocol yields but also takes on extra smart contract and stablecoin risk. Inversely, PWRD receives a smaller portion of underlying protocol yields (fixed at 2%) and is subsequently protected against these extra risks. This is made possible through the Gro Risk Balancer, a novel risk tranching module that distributes smart contract and stablecoin risk in a targeted way.
Gro DAO is currently working on expanding its suite of products to ultimately make DeFi and Web3 more accessible.