When we launched the Solana Covered Call Growth fund, one of the exciting questions on the table was tokenization. The idea of creating a fully on-chain, tokenized representation of fund shares is appealing: transparency, liquidity, and a modern Web3-native structure. However, after careful consideration, we decided not to tokenize—at least not yet.
We are still in the early stages of building and refining this strategy. At this stage, our focus is on performance, repeatability, and reporting, rather than infrastructure. Tokenization can add a layer of complexity—both technical and regulatory—that distracts from the main goal: executing our options strategy consistently and profitably.
We did explore how tokenization could work in practice. For example, we spent several hours testing with Squads, one of the best DAO and treasury tools on Solana. The experience confirmed that while the tech is powerful, it also requires commitment to developer resources, maintenance, and onboarding—all of which might be premature for us.
Instead of rushing into tokenization, we decided to stick with a more traditional approach for now:
- Personal, direct NAV reporting to our investors.
- Simple and clear communication about fund performance.
- Avoiding overhead and not burning resources on developer teams.
This also aligns with our lean early-stage philosophy: we want to deploy capital efficiently, not on infrastructure we may not yet need.
What excites us is that we can already operate efficiently and transparently without heavy dev costs. Tools like ChatGPT help us with reporting, automation, and investor communication. This allows us to move fast, keep costs low, and focus on strategy execution.
Our decision is not a rejection of tokenization. We see clear benefits in the long run, and tokenization will likely play a role in the future of this fund. But timing matters. For now, we’re confident that a personal, streamlined, and cost-effective approach best serves our investors.
In short: we chose to walk before we run. Tokenization remains on the horizon, but today our energy is better spent on building trust, delivering returns, and refining our core process.