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Read announcements, industry research, commentary, and academic papers from the team.


Options Series Part II - Exploring Different Pricing Approaches and Tokenomics

Pablo Bartol
14 min read

This second article will look at the inner workings of pricing, especially the violations of the Black-Scholes Model (BSM), which is the most commonly used pricing model, followed by an overview of the...

On Tokenomics Series Part I - The Game of Supply and Demand

Carolina Goldstein & Joana Gomes
14 min read

Tokenomics, or the study of how tokens are created, distributed, and used within blockchain protocols, is a crucial aspect of the cryptocurrency and blockchain space. Tokens play a significant role in...

Options Series Part I - An Overview of the DeFi Options Landscape

Pablo Bartol
20 min read

DeFi Options have become a highly sought-after product. However, compared to centralized counterparties, DeFi remains a small incumbent lacking liquidity, which limits options trading. This Options series...

The Key Role of Sequencer Decentralization

André Pereira & Daniel Fonseca
20 min read

Part II of the Challenging Periods Reimagined Series proposes a transition from the current status quo of centralized sequencers to a decentralized network of sequencers with a governance-adjusted time...

Distributed Automated Market Makers (dAMMs)

Tiago Fernandes
15 min read

Capital efficiency has become a major concern for L2 solutions as DeFi continues to grow since liquidity is divided between L1 and multiple L2s. dAMM is a new L2-powered AMM design that tackles liquidity...

The SVB Collapse: A Wake Up Call for Better Risk Management

Carolina Goldstein & Joana Gomes
5 min read

Circle, the company behind the USDC stablecoin, acknowledged on Friday to having a $3.3 billion exposure to the now collapsed Silicon Valley Bank (SVB). USDC is one of the most widely used stablecoins...

Road to a Dynamic Challenging Period

André Pereira & Daniel Fonseca
25 min read

The Challenging Periods Reimagined Series examines the scalability challenge that Ethereum has been facing and how layer-2 scaling solutions, such as optimistic rollups, are being used to address it. The...

Investment Thesis: Arrakis Finance

Pablo Bartol
12 min read

Arrakis acts as a decentralized market-maker where users have their liquidity managed through Arrakis, and projects can create deep liquidity for their native tokens. AMMs (Automated Market Makers), such...

Working with Three Sigma: A Q&A with the Yeti Finance Team

Carolina Goldstein & Tomás Palmeirim & Pedro Santos
5 min read

Yeti Finance was one of the first projects Three Sigma worked with, and we are very fond of the long-term partnership that developed over the duration of the engagement. Yeti Finance  is a decentralized...

The Hitchhiker's Guide to DeFi Insurance

Catarina Urgueira & Carolina Goldstein & Tomás Palmeirim
120 min read

Since the early days, the DeFi market has been severely shaken by hacks, bugs, exploits, rug-pulls, flash loan attacks, and a long list of attack vectors, causing loss of confidence in its core value proposition....

Investment Thesis: Insrt Finance

Tomás Palmeirim
7 min read

Insrt Finance is building a layer of simplification and abstraction for NFT finance, aggregating yield-generating strategies into Yearn-like user accessible vaults. Both vault strategists and the protocol...

Introducing: Three Sigma

Eduardo Morgado & Afonso Oliveira & Tiago Barbosa
6 min read

The crypto/web3 industry has demonstrated how much it benefits from technical expertise and how far it still is from reaching its full potential. As a corollary, technical experts must assist in leading...