Searching for Alpha: InfinityPools

Quick take
- Risk management is a foundationally important component of leverage.
- While on-chain leverage protocols focus on execution layer innovations, the InfinityPools protocol design is centered around its risk engine.
- Using a lending market for concentrated spot liquidity positions, InfinityPools is able to circumvent many of the pitfalls of forced deleveraging.
- Disclaimer: The Block Research team has, is, and will be experimenting with the various protocols, projects, and applications mentioned in this series. The projects mentioned in our reports are not recommendations from our team and should not be misconstrued as investment advice. Many projects that appear in this series are highly experimental and, as such, will come with risks. Readers should evaluate their own risk tolerance before experimenting with these projects.