• Coins: 703
  • Platforms: 63
  • Last updated: January 31, 2024

Invictus Margin Lending Review Everything You Need to Know

Understanding how margin lending works requires knowing the forms it can take. Here is everything you need to know Invictus Margin Lending

Dean Fankhauser9 min read
Invictus

Our take

4 out of 5 stars

The financial industry has seen significant disruptions in recent years as a result of blockchain technology and cryptocurrencies. There have been few spaces in the industry left untouched. Even margin lending is well-primed for disruption.

What is margin lending? This process allows traders to stake collateral against investments. In other words, it permits them to invest more money than they hold.

As with any investment, margin lending comes with some risk. However, there is no anticipated drawdown and the fund has seen positive returns since inception. For those who master this investment technique, it can yield incredible returns. Data-backed firms such as Invictus Capital can automate the lending process, achieving some of the highest market rates with their Margin Lending fund.

When it's all said and done, Invictus Capital points to impressive results. These results aren't surprising since margin lending, done correctly, decreases your risk of drawdown. Here's what you need to know about the Invictus Margin Lending fund and why so many investors are flocking to it.

Double-digit returns on USD

Launched in August 2019, Invictus Margin Lending is rewriting the rules of the margin lending game. How? By automating the lending with proprietary software which outcompetes manual traders.

How does the company claim to achieve this? By offering dollar-based loans on platforms for exchange margin lending. They do this through the Invictus investment platform.

The result is a fund that allows anyone to invest and gain exposure to margin lending which is otherwise not a viable investment opportunity. IML tokens are sent to investors and are representative of ownership.

What makes the company's approach to margin lending so unique? Invictus has proven stiff competition against centralized finance (DeFi) platforms such as Nexo. Invictus does not limit the upside performance for investors and allows investors to withdraw their funds daily through their modern platform.

Invictus is incentivized alongside investors since their performance fee only applies beyond a hurdle rate of 6%. What do we mean by a hurdle rate? That's the minimum rate the fund must achieve before the performance fee applies. Which makes any space above the green line a veritable bonus.

Investing in Crypto

Recently, Invictus Margin Lending revealed that the volatility of Bitcoin permitted the company to lock in higher rates. This is because volatility drives demand for additional capital, which Invictus efficiently provides. Some of these rates reached upwards of 22 percent annualized. The fund's returns also boast a negative correlation to traditional indices like the S&P 500.

As a result, Invictus Capital represents a valuable tool for investment diversification. Margin lending offers investors a stable source of returns which has historically remained positive throughout bearish market cycles.

What are some of the benefits associated with this approach to trading? For starters, crypto lending has witnessed an impressive expansion in recent years, making it a prime market for investors. Cryptocurrency volatility is also projected to continue.

That means Invictus will be catering to the demand for capital by leveraged trades. This increased demand will lead to higher interest rates on loans that are dollar-based.

Invictus Margin Lending permits traders to harness this volatility as crypto lending continues to grow, taking on less risk in the process. What's more, the Bitcompare site offers the tools investors need, including a historical return calculator. This capability enables strong returns through the system.

The History of Invictus Lending

As you can see, Invictus is the leading alternative investment firm in the crypto space. Invictus has a wide range of innovative crypto investment funds and Margin Lending is just one of them. Expect to see more great things out of this company.

It provides the tools investors need to harness current market conditions and build a balance alternative investment portfolio. The alternative investment thesis has proven its merits so far. After all, the crypto market is at all-time highs. The company also understands that there are opportunities to provide high-yield margin lending returns within the alternative asset space.

Who runs the company today? Daniel Schwartzkopff is the CEO. Schwartzkopff remains excited about the prospect of Invictus Margin Lending, with the fund recently surpassing $5 million, while Invictus manages over $100 million. After all, it offers an excellent option for portfolio diversification.

A rapidly expanding industry, lending on international digital exchanges has boomed in recent years. On loan originations, investors are seeing 146 percent quarter-on-quarter growth. How can that not be a tantalizing figure for investors?

Invictus launched the Margin Lending fund in August 2019. To date, the Invictus Margin Lending Fund has exceeded an impressive 11 percent annualized net on returns. It has no minimum investment requirements and no lock-up period.

When you invest in the Invictus Margin lending fund, you have access to your funds from day one. How do these fund transactions get verified? Through the Ethereum blockchain.

Invictus: Speculation and Volatility

Invictus Margin Lending takes advantage of two factors:

  • Speculation

  • Volatility

Nonetheless, such investments never have direct exposure to cryptocurrencies. Instead, the fund relies on actively lending USD on exchanges to borrowers. In turn, these borrowers are interested in funding their margin trading activities.

The high-yield returns traders are seeing were once only available to institutions and market makers. But Invictus has leveled the playing field for a new generation of investors.

How is this unique vision paying off for the lending company? At the moment, Invictus Capital boasts a community of more than 18,000 users. These individuals hail from more than 150 nations worldwide.

Why the impressive growth in such a relatively short period? Besides its many benefits, Invictus is streamlined and easy to use.

How long does it take for a new investor to get onboarded into the system? A mere matter of minutes. Onboarding is a fully automated process. That means it can be completed 24/7.

Invictus continues to offer both traditional and alternative digital asset funds. For example, it makes available to customers both credit-based and equity options. It also provides active and passive variations.

Why Does Invictus Interest continue to Grow?

Invictus Capital continues to make waves in the lending world. Its brave departure into the application of efficient blockchain technology proves both innovative and noteworthy. Through this means, the company is already witnessing an increase in access to adaptive funds.

The company also continues to target an international investor base. Through these means, Invictus Capital and its Margin Lending fund have revolutionized the asset management space.

With its unique alternative investment funds, the company has effectively brought to life a new platform for proprietary blockchain-based asset management. The company's ability to offer superior dollar-based interest returns continues to propel its success.

For discerning investors who don't mind branching out into a cutting-edge area of the market, Invictus Margin Lending represents an excellent means of investing in crypto without direct exposure.

It maximizes interest income on USD and USD equivalents. Yet, there are zero anticipated risks of drawdown associated with this dollar-based position on margin lending platforms.

How can the company make such a claim? Due to the collateralized nature of the loans given. What's more, Invictus platforms operate with insurance pools for worst-case scenarios. So far, these pools have never been drawn down.

Invictus Capital Timeframes

As an investor, you want to have an understanding of how easy and efficient it will be for you to enter and exit the fund whenever you need it in the future.

How does the investment process look? Investments into the Invictus Margin Lending can be made with:

You'll need a verified account before you can begin. But no minimum investment restrictions apply.

Investments received by the company before 22:00 UTC are issued the fund's token, IML. These tokens go to your crypto address at 11:00 UTC the next day.

The Account Verification Process

What does account verification involve? You'll need to provide a government-issued document proving your identity, along with a selfie. These may include:

  • Driver's licenses

  • Passports

  • Citizen cards

You will also need to provide a photo of yourself in order to verify your identity. Find out about other leading DeFi and CeFi platforms and how they compare to Invictus Margin Lending.

Redeeming Invictus Margin Lending Tokens

Once you've gone through the registration process, you'll invest funds and receive IML tokens to your Invictus wallet or any ERC-20 alternative. IML tokens can be redeemed for their full value in TUSD by going to the Investor Portal.

The company's smart contract holds liquidity for redemptions. These redemptions get processed daily at 11:00 UTC. What determines an investor's profit or loss? Ultimately, the change in IML's value between redeeming and investing.

Invictus Margin Lending aims to offer investors exposure to margin lending returns, historically set in the range of 10 to 28 percent p/a net of fees on various cryptos and USD.

The Invictus Margin Lending Fund is similar to Crypto10 Hedged because it's designed to be open-ended. It comes with many benefits for investors who wish to enter and exit the fund. For example, you aren't required to trade via exchange.

Invictus Margin Lending has been running a fund with these targets and parameters internally for a while now, and they've enjoyed significant success.

The smart contract and token launch for this product took place in October 2019. The minimum entry for the pre-token phase started at $5,000. That said, they lifted this restriction after the launch.

Check out our crypto calculators now to see what platforms such as Invictus Capital could do to help you grow your investments.

Invictus Margin Lending's Performance

How has Invictus Margin Lending performed since it launched? The results have proven consistent with the outperformance of the six percent p/a benchmark. Boasting upwards of 10.5 percent annualized, there are no drawdown events.

Although these figures don't appear overly impressive at first glance, Invictus Margin Lending's platform comes with certain advantages that are hard to duplicate. For starters, you must understand and appreciate risk-adjusted returns.

Greater return potential accompanies greater risk in most financial markets. That's why the portfolio manager spends the majority of their time balancing your risk-return profile. Of course, this doesn't always end up proving true in the context of the blossoming crypto world.

With Invictus, the fund's risk and volatility are similar to earning interest in a bank account. The ratio of return per unit of risk has, so far, outperformed that of most retail investment opportunities. Now that's an eye-opening feat.

Compared to top alternative investment funds and crypto assets, Invictus stands head and shoulders above the competition. For these reasons, more traders are making a significant allocation to it as a part of a well-balanced portfolio.

Compare with Invictus alternatives

Similar Savings Accounts and Loans

PlatformInterest Rates (APY)
Nexo
Up to 7% on BTC
Up to 12% on Stablecoins
... 36 more coins
OKX
Up to 5% on BTC
Up to 0.08% on Stablecoins
... 196 more coins
YouHodler
Up to 3.05% on BTC
Up to 8.33% on Stablecoins
... 56 more coins

The Takeaway When It Comes to Invictus Capital

Since its debut in 2019, the Invictus Margin Lending platform has performed well, and it continues to expand. In terms of advantages, Invictus Margin Lending offers serious diversification opportunities when you consider the uncorrelated nature of returns.

Because the company has no exposure to supply and demand market forces, it does well no matter the direction the market is moving. As a result, the fund's risks remain low. Last but not least, the fund is dollar-denominated.

For this reason, Invictus Margin Lending's closest comparable investment opportunity would be a US deposit account. While a deposit account is contained by significant liquidity constraints, such is not the case with Invictus Margin Lending. The platform removes the illiquidity factor because funds are readily available through the portal 24/7.

Are you interested in learning more about the investment opportunities available to you through companies such as Invictus Capital? Browse our blog now for the data you need for effective crypto wealth management.

Get Our Newsletter

Subscribe to our newsletter to get tips, our favorite services, and the best deals on Bitcompare-approved picks sent to your inbox.

No spam, unsubscribe anytime. Read our Privacy Policy.

Get crypto smart in 5 minutes

Join readers from Coinbase, a16z, Binance, Uniswap, Sequoia and more for the latest staking rewards, tips, insights and news.

No spam, unsubscribe anytime. Read our Privacy Policy.

© 2024 Bitcompare

Bitcompare.net is a trading name of Tokentalk Ltd. Registered in England No. 11332964 Registered Office: Unit 3 Mitcham Industrial Estate, 85 Streatham Road, Mitcham, United Kingdom, CR4 2AP.

Advertiser disclosure: Bitcompare is a comparison engine that relies on advertising for funding. The business opportunities that can be found on this site are offered by companies with which Bitcompare has made deals. This relationship may affect the way and where products appear on the site, such as in what order they are listed in categories. Information about products may also be placed based on other factors, such as the ranking algorithms on our website. Bitcompare does not look at or list all companies or products on the market.

Editorial disclosure: The editorial content on Bitcompare is not provided by any of the companies mentioned, and has not been reviewed, approved, or otherwise endorsed by any of these entities. The opinions expressed here are the author’s alone. Additionally, the opinions expressed by the commenters do not necessarily reflect those of Bitcompare or its staff. When you leave a comment on this site, it will not show up until a Bitcompare administrator approves it.

Warning: The price of digital assets can be volatile. The value of your investment can go down or up, and you may not get back the amount invested. You are the only one who is responsible for the money you invest, and Bitcompare is not responsible for any losses you might have. Any APR shown is a rough estimate of how much cryptocurrency you will earn in rewards over the time period you choose. It does not display the actual or predicted returns or yields in any fiat currency. The APR is adjusted daily, and the estimated rewards may differ from the actual rewards generated. The information on this page is not meant to be a sign from Bitcompare that the information is correct or reliable. Before making any investment, you should carefully consider your investment experience, financial situation, investment objectives, and risk tolerance, and consult with an independent financial advisor. Links to third-party sites are not under the control of Bitcompare, and we are not responsible for the reliability or accuracy of such sites or their contents. For more information, see the Terms of Service for Bitcompare and our Risk Warning.