Structured Notes

Pre-Packaged, Buy & Hold Investments

Our principal-hedged notes largely protect against loss from unfavorable movements in the underlying asset (BTC, ETH), offering potential enhanced returns while mitigating risk to the invested principal.

Custom bespoke structures

Our quantitative algorithms seamlessly bridges the gap for digital assets, generating one-off investments on the fly.

Fill in our thesis builder

  1. Step 1Select underlying assetsBTC, ETH etc.
  2. Step 2Choose a directionUp or down
  3. Step 3Set a time periodFrom a few weeks to over a year
  4. Step 3Adjust risk & rewardPrincipal hedging and capped upside

...and let it do it's magic

Status

Some example notes

The minimum investment per note is $20k USD and purchasers may customize:

  • Bitcoin (BTC) or Ether (ETH) for underlying asset
  • Upside (Bullish) or downside (Bearish) price capture of the underlying asset
  • Minimum and maximum price capture range of the underlying asset
  • 1, 3, 6, 9 or 12 month term (hold to maturity, early redemption not guaranteed)
  • 10% to 200% max return on principal based on asset performance at maturity
  • 0% to 25% max loss of principal based on asset performance at maturity

88% Principal-Hedged BTC Note

  • Underlying asset: Bitcoin ($26,560 at purchase)
  • Direction: Upside capture of BTC price
  • Price capture range: $28k to $55k USD
  • Term: 6 months, matures on Mar 29, 2024
  • Max loss: 12.02% if BTC is below $28k at maturity
  • Max profit: 87.88% if BTC is above $55k at maturity
  • Example returns at maturity for $100k principal:
  1. BTC is $10k (-62.35%) = $87,980 (-12.02%)
  2. BTC is $26k (~0.00%) = $87,980 (-12.02%)
  3. BTC is $28k (+5.42%) = $87,980 (-12.02%)
  4. BTC is $32k (+20.48%) = $100,000 (+0.00%)
  5. BTC is $40k (+50.60%) = $134,391 (+34.40%)
  6. BTC is $55k (+107.1%) = $187,880 (+87.88%)
  7. BTC is $80k (+201.2%) = $187,880 (+87.88%)
Bitcoin principal hedged note

100% Principal-Hedged ETH Note

  • Underlying asset: Ether ($1,640 at purchase)
  • Direction: Upside capture of ETH price
  • Price capture range: $1.7k to $3k USD
  • Term: 9 months, matures on Jun 28, 2024
  • Max loss: 0.00% if ETH is below $1.7k at maturity
  • Max profit: 14.54% if ETH is above $3k at maturity
  • Example returns at maturity for $100k principal:
  1. ETH is $1.1k (-32.93%) = $100,000 (0.00%)
  2. ETH is $1.6k (~0.00%) = $100,000 (0.00%)
  3. ETH is $1.7k (+3.66%) = $100,000 (0.00%)
  4. ETH is $2.0k (+21.95%) = $103,560 (+3.56%)
  5. ETH is $2.5k (+52.44%) = $109,060 (+9.06%)
  6. ETH is $3.0k (+82.93%) = $114,560 (+14.56%)
  7. ETH is $4.0k (+143.9%) = $114,560 (+14.56%)
Ether principal hedged note

Simple purchase flow

We're a regulated centralized finance company operating on traditional banking rails.

  1. Schedule a demoWe'll walk you through the platform and answer questions
  2. Open an accountYou will need to be accredited and pass KYC/AML
  3. Fund your accountBank wire to our on-shore Canadian entity
  4. Customize and purchase a noteAll done through our robust & secure web application
  5. Monitor portfolio until maturityProfits will be deposited to your bank via wire transfer

Frequently asked questions

What is Fig Investments?

Fig Investments is an investment platform operated by Volatility Labs Inc. that helps investors get highly customized and risk managed exposure to crypto.

On Sept 22, 2023 the platform was granted a first-of-its-kind exemptive relief order by the Alberta Securities Commision (ASC) and British Columbia Securities Commission (BCSC) to offer novel structured crypto investment products to accredited investors in Alberta, British Columbia and other eligible foreign jurisdictions.

The decision for the order may be found at https://www.asc.ca/registrant-and-market-regulation/exemption-orders-registrants

What are Structured Products?

Structured notes (also know as structured products) are pre-packaged, buy-and-hold investments that track the performance of assets such as stocks, commodities, or currencies. They faciliate highly customized risk-return profiles by using a basket of derivatives and fixed-income (ie. US T-Bills) which replicate exposure to the assets with a high degree of flexibility.

Their main benefit is to capture an asset's upside potential while limiting exposure to it's downside. They uniquely define their payout structure up-front, allowing investors to know exactly how much they will make or lose based on the asset's price at maturity.

Why do Structured Products matter?

Structured products are a $10T+ market, bigger than ETFs and hedge funds combined. They appeal to investors because they are tailored to their specific risk and return appetite and provide guarantees that other investment products like ETFs cannot offer.

They are typically issued by large banks and financial institutions as they require a high degree of expertise and resources to manage and sell. They're reserved for high-net-worth individuals and institutional investors, leaving their benefits out of reach for most.

What kind of notes do you offer?

We currently offer principal hedged notes, which protect against loss from unfavorable movements in the underlying asset (BTC, ETH), offering potential enhanced returns while mitigating risk to the invested principal.

How can I purchase your notes?

You can purchase notes directly from the platform after going through KYC/AML. We accept USD/CAD bank wires or drafts to our on-shore Canadian entity.

We are not a crypto exchange and do not custody any crypto assets or accept crypto as payment.

How does this compare to DeFi?

DeFi Option Vaults (DOV) like Ribbon Finance are unregulated decentralized finance protocols that offer uncustomizable covered call products. They cater to crypto-native users who don't understand the risk and reward of selling calls.