Ladies and gentlemen, welcome to this week’s update on the Terramatris Crypto Fund. My name is Reinis Fischer, I'm founder and CEO this DeFi-focused crypto hedge fund. Today, I’ll walk you through some of our recent strategies, trades, and market insights.
For those unfamiliar, Terramatis is a DeFi crypto hedge fund focusing on advanced options trading strategies. We primarily engage in selling “put options” to maximize gains while minimizing risk in the cryptocurrency market. Our native TerraM token is available on Web3 platforms like OKX and Phantom, providing investors with flexible access and a robust trading experience.
Swap on Raydium or OKX.com (Solana supported wallet required)
Our strategy mainly revolves around selling put options in assets like Bitcoin and Ethereum, allowing us to capture premiums while maintaining manageable risk. Additionally, we engage in selling covered calls on established positions, particularly in Ethereum and Solana. Although we previously focused on one-day expirations, we’re gradually shifting towards weekly spreads, which allows for more strategic management of our positions.
One of our key principles at TerraM is reinvesting premiums earned from options trading back into the fund's crypto portfolio. Our holdings include Bitcoin, Ethereum, Stellar Lumens, Solana, and Jupiter tokens. This week, we’ve invested in Bitcoin, Jupiter, and TokenFI (a token focused on real-world asset tokenization). Next week, we’re likely adding BNB to our portfolio.
We employ a dollar-cost averaging (DCA) approach to grow our crypto portfolio consistently. This strategy has served us well, allowing us to build positions steadily over time without the pressures of market timing. Since our inception, this DCA approach has helped us achieve steady, sustainable growth.
Risk management is at the core of TerraM’s strategy. We target high-probability trades that we expect to expire worthless, but when markets go against us, we “roll” positions forward, either for a credit or a lower strike price. In the highly volatile crypto environment, this method proves invaluable. We also employ futures hedging and occasionally use stop-loss orders to manage unexpected risks, though so far, no stop-losses have been triggered.
As of November 14, 2024, the TerraM fund has reached an all-time high of $4,688.59, marking a week-over-week growth of 8.88%, which translates to an increase of $350.59. This significant growth reflects the fund's strategic trading and investment approaches.
This week has been relatively quiet for us. We opened a $200-wide weekly credit spread on Ethereum, securing a $70 premium. Daily DCA purchases continued, with $15 invested daily in selected assets, reinforcing our long-term growth strategy.
It’s been a strong week for the crypto market, following President Trump’s re-election in the U.S. However, while we’re optimistic about the market’s direction, we’re prepared for potential pullbacks, especially if Ethereum encounters resistance near the $3,000 support level. We’re cautiously optimistic, with a long-term bullish outlook tempered by careful risk management.
Our TerraM tokens, representing direct ownership in the fund, have risen to $1.77 each, bringing our market cap to approximately $17,000. For those interested, we’re offering an over-the-counter (OTC) sale of tokens at a fixed price of $1.77, capped at 200 tokens per buyer to minimize slippage for larger investors. This OTC option is available on Web3 platforms supporting the Solana blockchain, including Radium and Phantom.
Swap on Raydium or OKX.com (Solana supported wallet required)
As we continue into the coming weeks, our focus remains on disciplined trading and strategic growth. We’re committed to managing risks effectively while seeking new opportunities within the crypto market. Thank you for your support and interest in TerraM. Please reach out if you’d like to learn more or join our fund, and as always, invest wisely.