Sommelier SOMM

1. Summary

Ranks

Liquidity

76

Developer

-

Social

80

Momentum (beta)

28

Stack Rank™

-

Price

$0.01 -6.4%

Market Cap

$4.48M (#2370)

Supply

297.30M / 500.00M

Tags

Cosmos Ecosystem Ethereum Ecosystem LRTfi Multicoin Capital Portfolio Alameda Research Portfolio

More Metrics

Price
52W High price	$0.34
52W High date	16th Dec 2023 (1 year ago)
All Time High (ATH) Date	9th Feb 2022 (2 years ago)
ATH Price	$7.09
% From ATH	-99.67%
All Time Low (ATL) Date	5th Aug 2024 (4 months ago)
ATL Price	$0.02
% From ATL	36.81%

Supply & Trading Volume
Trading Volume (24h)	$12,897.00
Total Supply	500.00M
Max Supply	500.00M
Circulating Supply	297.30M

Less Metrics

Description

Overview

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Overview

Sommelier is a non-custodial, cross-chain platform for executing actively-managed DeFi investment strategies. It allows community members to create Cellars that execute on investment strategies through smart contracts. These Cellars are powered by Strategy Providers (SPs) who develop trading strategies and send the recommended actions to the Sommelier Validators to be executed on the Cellar with the intention of gaining yield.

Features

• Cellars can execute strategies such as a portfolio of BTC and ETH rebalanced based on price trends identified by machine learning algorithms, an NFT trading strategy leveraging Twitter sentiment, or a strategy that hedges liquidity provision on DEXes.
• Sommelier employs a unique architecture consisting of the Sommelier Cosmos SDK blockchain, an off-chain execution environment, and a high-performing ETH bridge.
• Transactions are aggregated and batched, reducing gas fees and providing an attractive alternative to Ethereum’s high transaction costs.
• The platform uses a decentralized governance mechanism run by validators, ensuring the safety of user funds.
• Validators pass strategy instructions across the bridge, but users’ assets are never moved across it, instead being deployed directly into Cellars. Further, Cellars are non-custodial, allowing users to withdraw their assets at any time.
• The bridge is being expanded to allow access to other chains, like Polygon and Avalanche, so strategies are not tied to just high gas ETH markets.

Architecture and Security

• Sommelier uses a decentralized governance mechanism run by validators, ensuring state-of-the-art safety of user funds.
• Validators pass strategy instructions across the bridge, but users' assets are never moved across it, instead being deployed directly into Cellars.
• Further, Cellars are non-custodial, meaning users can withdraw their assets at any time, while strategy providers never have ownership of those assets.
• The platform aggregates and batches transactions, reducing gas fees and providing an attractive alternative to Ethereum’s high transaction costs.

Expanded Functionality

• Sommelier has integrated with many popular DeFi protocols, such as Aave, Uniswap, Compound, 1inch, Frax, Curve, Balancer, and Aura.
• The platform offers users access to automated vaults with best-in-class yields and mitigated risks, and it is completely decentralized, providing secure storage of deposited funds.
• Users who stake the SOMM token not only receive rewards but also contribute to the security of the network.

Cross-Chain Expansion

• Sommelier has expanded its functionality to Arbitrum, with the first vault being the Real Yield ETH vault, which generates yield by providing liquidity and taking leveraged positions on staked ether (ETH).
• The protocol is targeting more chains later in the year, aiming to offer users best-in-class yields from multiple sources.

Governance

• The validator set reaches consensus on rebalance messages and SOMM token holders control protocol governance.
• Community members vote on significant features of the investment strategy, including the launch of new Cellars and major modifications to existing ones.

Benefits

• Sommelier simplifies the trading process for retail investors, offering an easy-to-use and profitable DeFi solution.
• It allows users to generate maximum yield without high gas fees, making it accessible to a broader audience.
• The platform’s decentralized governance and off-chain execution environment ensure the safety and confidentiality of user assets and strategies.

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