🧵 The Essence of #Revest, Simplified.The original Revest Protocol laid the groundwork, pioneering the first self-service platform for creating non-fungible derivatives. Our main goal was to create a secure system for storing, managing, and transferring locked positions. Essentially, we utilized the newer ERC1155 standard token for its improved functionalities to effectively store the rights to a locked ERC20 position - known as FNFTs. These FNFTs could be locked to addresses to prevent theft and reduce web risks, such as visiting phishing sites. Most importantly, FNFTs enabled seamless management of locked positions through the interactive FNFT UI without disrupting the underlying assets and liquidity. FNFTs also offered the flexibility to lock liquidity for extended periods while retaining access when needed, benefiting both protocols and users. This access could take the form of selling FNFTs over-the-counter on any supported marketplace or taking out a loan against the FNFT as collateral.Following the introduction of FNFTs, we developed several products: Cashflow Management, NFT Locker, and Transferrable Trust. While all useful, FNFTs demanded a higher velocity use case. Enter Resonate.DeFi had long sought a solution to effectively separate interest and principal. While ERC20 models attempted this, they encountered systemic issues. FNFTs, on the other hand, provided a simple solution: for every yield-bearing position, two FNFTs could be created – an interest FNFT and a principal FNFT. This approach enabled the separation of a position's yield without compromising custody of the underlying asset, ensuring liquidity and tradability. Expanding on this model, users could lease out their locked assets' earning power for an upfront fee, while others could buy the rights to that future yield at a discount of the current variable rate. One party receives a fixed return on a larger sum, while the other has uncapped upside from an advantageous position. It operates as a decentralized marketplace for future yield, utilizing a system more akin to a traditional order book to remove the possibility of slippage, as seen with modern AMMs.Let’s consider a practical scenario where you're assessing the anticipated yield of your preferred blue-chip protocol. When network activity is robust, the protocol typically generates higher yield, while lower activity results in decreased yield. Anticipating a period of low trading volume, you foresee a decline in revenue generation and yield distribution. In response, you employ a strategy: selling your future yield for an upfront rate on Resonate to secure guaranteed returns for the forthcoming period. Importantly, you retain ownership of your principal, albeit locked for the duration of the yield sale, while the purchaser receives an FNFT, directing your future yield to them. As events unfold, your foresight proves accurate; market activity diminishes, and yield decreases. By locking in a favorable rate at the opportune moment, you not only safeguard your returns but also possess the flexibility to bolster your position, hedge against risk, or diversify your portfolio.In the subsequent period, your favorite protocol appears strong - the macro lines up, volume is growing, technical analysis is ideal, and morale is rising. You've checked DefiLlama, Nansen, CoinTerminal, and all your favorite resources - you like what you see. So, how can you profit off this? You could simply farm the yield, sure. But, you want more value. Besides, why buy your own principal to farm trading fees when you can pay less to rent significantly more of someone else's? So, you create a pool on Resonate offering users the opportunity to buy their future yield for the coming period at an upfront rate today. You’ve just gone long on yield in a highly levered fashion with no risk of slippage or liquidations (levered because the position you leased is many times larger than your initial capital). If the protocol hits the forecasted yield, you’ve made great money as you bought it at a discount. If the protocol exceeds expectations, you’ve made incredible money. If it doesn’t meet expectations, then you have the original discount you bought it for as a buffer; below that is fair game. However, yield is very unlikely to be 0. The benefit here is that returns are extremely outsized when timed correctly.This concept is also applicable to real-world assets (#RWAs) such as tokenized US treasuries, which will continue to be rolled out in the future.However, the one currently closest to our hearts is #Redux. Instead of relying on users to discover the most effective methods for leveraging our systems to generate profit, we decided to package it as a finished product. We aimed to provide users with a secure avenue to utilize their guaranteed returns as an Issuer into an automated and highly profitable set of trading strategies. Redux, our AI-powered trading algorithm(s), operate within a vault-based system tailored to maximize trading outcomes by harnessing extensive real-time market data and employing machine learning techniques. The ultimate objective of Redux is to provide access to high-return investment opportunities while entirely safeguarding user principal.In conclusion, Revest stands as a beacon of innovation within the DeFi landscape, offering a suite of tools and protocols that empower users to navigate the complexities of decentralized finance with confidence. From pioneering FNFTs to the decentralized marketplace of Resonate and the AI-driven trading strategies of Redux, Revest continues to push the boundaries of what is possible in the world of decentralized finance. As the ecosystem evolves and expands, Revest remains committed to providing secure, accessible, and highly profitable solutions for users worldwide. Join us as we continue to shape the future of finance, one innovative solution at a time.