Cryptocurrency investment company DARMA Capital has launched a financial derivative, the Filecoin Asset Use Swap, based on a decentralized storage platform.
The firm has also announced an allocation of $100 million in its FIL holdings to be loaned out, away from the need for users to buy the token to take part in the protocol.
DARMA has announced that the new offering, which enables the potential swap yield to be turned into a swap, is regulated by the Commodity and Futures Trading Commission.
DARMA CEO, James Slazas, says it is important to diversify the network out of China, where estimated three-quarters of Filecoin storage providers are located.
The executive added that deployment in other jurisdictions would be implemented in the next year to onboard companies having restrictions with the data being stored in China.
DARMA product manager, Hyunsu Jung, notes that the storage providers’ earnings range between 60% to 80% depending on the existing Filecoin protocol state.
Jung notes that the fee storage providers are charged is a FIL-based rate taking the share of their FIL rewards produced over the swap duration.
Source: Coindesk