Plethori

Plethori is a cross-chain investment platform for the creation and trading of decentralized exchange traded funds (ETFs) built on Polkadot. The platform will allow users to trade a wide range of ETFs centered around industries and sectors driving the crypto space ie NFTs, oracles, Polkadot ecosystem etc and also allows users to stake collateral to create their own customized ETFs and earn a portion of the transaction fees as it is traded on our platform

It is a multichain platform allowing investment into the various ecosystems in different blockchains and will be built on top of Optimism's layer 2 solution to achieve ultra fast low cost transactions.

Plethori's platforms will provide a fiat gateway to facilitate investments from the TradFi markets, and will also integrate NFT rewards, providing incentive for engagement on the platform for traders and fund creators. NFTs will also act as access cards to the more advanced features on the platform such as access to trading with higher leverage.

Plethori (PLE) is a decentralized cross-chain ETF investment platform that allows you to trade and create non-secure ETFs using blockchain technology and layer 2 solutions.

The platform will connect the Ethereum and Polkadot ecosystems, empowering traders by providing a wide range of ETF tokens for trading and investment, and leveraging technologies from both blockchains to open up new opportunities for investment strategies.

Our service will allow investors to create fully decentralized ETFs that can be traded and receive a share of the profits from transaction fees. The leader system will reward top-performing NFT fund creators who provide perks on the platform and partner project platforms such as early access to releases and APY with higher rates.

Orthodox banking/financial systems provide a wide range of investment structures and services. Prior to the advent of blockchain technology, these OTC services were provided mainly by large financial institutions. One of the most widely offered such services is exchange-traded funds (ETFs).

An exchange-traded fund is a form of investment fund that is traded on exchanges. ETFs offer investors the opportunity to invest in a range of assets in a single security that tracks the price of the underlying asset and can be bought or sold like a share. ETFs are a share of the capital of US corporations and attract both retail and institutional investors.

Exchange-traded funds have advantages over direct investment in individual securities. These include low cost, competitiveness, diversification, liquidity and tax efficiency. However, this comes with fees and costs. Primary ETF structures are Index ETFs, Actively Managed ETFs, Inverse ETFs, Leveraged ETFs, and Theme ETFs.

It goes without saying that investors tend to be more likely to trust larger firms with longer capital experience. This limits competition, as entry into the industry is difficult for smaller firms.

This is where Plethori will strategically disrupt the money market by creating a trustless decentralized investment network.

ETFs worldwide were valued at $7.74 trillion at the end of 2020, according to research institute Statista. The countries with the largest ETF industries were:

-North America: $5.6 trillion

-Europe: $1.3 trillion

-Asia Pacific: $0.69 trillion

Since most ETFs are index funds, they tend to have low expense ratios because they are not actively managed. An index fund is much easier to manage as it does not require a security choice and can be done mostly with a computer.

Also, unlike mutual funds, because ETFs are not required to buy and sell securities to secure purchases and redemptions by shareholders, ETFs do not have to maintain a cash reserve for redemptions and save on brokerage costs. ETFs typically have extremely low marketing, distribution, and accounting costs.

As of October 2020, the SPDR S&P 500 ETF Trust was the highest valued ETF in the world with a market capitalization of approximately $327 billion. ETFs are commonly traded on exchanges and are popular with young investors. At the beginning of 2020, the total market capitalization of all cryptocurrencies was approximately $300 billion. There are currently over 8,500 cryptocurrencies in circulation with a total combined market capitalization of over $1.5 trillion. This figure is increasing every day.

Plethori will be strategically positioned to capture a significant portion of these industries, extending the benefits of decentralization to traditional finance.

An exchange-traded fund (ETF) is a type of investment fund and exchange-traded product that trades on stock exchanges. ETFs are similar to mutual funds in many ways, except that ETFs are bought and sold during the day on stock exchanges, while mutual funds are bought and sold at their price at the end of the day.

An ETF holds assets such as stocks, bonds, currencies and/or commodities such as gold bars and typically operates with an arbitrage mechanism designed to keep its trading close to its net asset value. This happens when there is a price difference between exchanges and arbitrage trading has become very popular in the Defi space.

Most ETFs contain the same securities in the same proportions as a particular stock market index or bond market index. The most popular U.S. ETFs replicate the S&P 500, the general market index, the NASDAQ-100, the price of gold, growth stocks in the Russell 1000, or the largest technology companies index.

In addition to opaque actively managed ETFs, in most cases, the list of shares held by each ETF, as well as their weightings, are published daily on the issuer's website. The largest ETFs have annual fees of 0.03% of the amount invested or even lower, although specialized ETFs can have annual fees well over 1% of the amount invested. These fees are paid to the ETF issuer from dividends received from the underlying assets or from the sale of assets.

An ETF divides ownership into shares held by shareholders. The details of the structure vary by country, and even within the same country there may be several possible structures. Shareholders indirectly own the fund's assets and usually receive annual returns. Shareholders are entitled to a share of the profits, such as interest or dividends, and they will be entitled to any residual value if the fund is liquidated.

As of 2017, there were 5,024 ETFs traded globally, of which 1,756 were based in the US, with over half of the influx coming from the top 20 ETFs. As of September 2020, U.S. ETFs had $4.9 trillion in assets under management.

Unlike mutual fund units, ETF shares are traded on an exchange, so investors buy and sell ETF shares in market transactions. ETF shares are bought from other investors and sold to them. This is in contrast to a mutual fund, where an investor buys shares directly from the mutual fund and then "sells" or "buys back" those shares from the mutual fund itself.

When an ETF initially goes public, or when an ETF wants to issue additional shares, it does so by selling shares to one or more financial institutions, known as "Eligible Participants". Authorized participants are usually large broker-dealers. Only authorized participants are permitted to buy and redeem shares directly from the ETF, and may only do so in large aggregates or blocks, commonly referred to as "creation units" or "creation baskets". Each ETF can specify the size of the creation basket.

To purchase shares from an ETF, an authorized participant collects and deposits a certain basket of securities and cash in the fund, in exchange for which he receives shares in the ETF. Once an authorized participant receives shares in the ETF, the authorized participant may sell the shares in the ETF on the secondary market to individual investors, institutions, or market makers in the ETF.

The process of redemption is the opposite of the process of creation. An authorized participant buys a large block of ETF shares on the open market and transfers these shares to the fund. In return, the authorized participant receives a predetermined basket of individual securities or their cash equivalent. Most ETFs charge authorized participants a fee for each of these "creation basket" transactions, but it's usually not very high.

-Lower cost of commissions charged

-Instant diversification

-Liquidity

-Tax Efficiency

-Sector investment

-Possibility to buy in small quantities

-Availability of a large number of alternative investments

Plethori is an interoperable DeFi protocol that allows cross-chain investment and trading in ETFs. The need for a cross-chain project is critical due to the recent surge in unaffordable fees charged by networks such as Ethereum, which make trading and investment opportunities seemingly unprofitable for small investors/users.

Our cross-chain functionality will open up new opportunities for our users, allowing them to invest in both the Ethereum and Polkadot ecosystems, thus creating a two-way bridge to invest in both ecosystems. This is a strategic move to provide a cost effective alternative to excessive low latency transactions to save on fees and lower transaction costs.

We chose Polkadot primarily because of its goal to build on top of Ethereum, but also because it boasts smart contract functionality and compatibility with the Ethereum Virtual Machine (EVM), where most of the DeFi assets traded are native.

One of the clear benefits of our internetworking protocol is the low cost to users, allowing users to invest additional funds that would otherwise be used to pay transaction fees. Functionality is maintained at a near-optimal level, primarily because we can reduce the service delay caused by a single network congestion by using our internet protocol as a kind of workaround.

Plethori will enable fund managers to create ETFs quickly, cheaply and securely. Users will be able to participate in a secure environment and invest in a collage of investment portfolios with minimal but calculated risk based on the returns of the funds. As a user, you only need to deposit with PLE on our platform, which can then be used to invest in the Polkadot ecosystem.

Plethori is built on an interoperable DeFi protocol that enables cross-chain investments and transactions. Our cross chain feature opens up new possibilities for our users and uses layer 2 technology to enable high-speed, low-cost trading at the touch of a button.

Integration with our fiat gateway will allow users to easily invest in crypto funds through our platform, thereby facilitating the investment of fiat money into tokens and creating a bridge to the world of traditional finance. This will be achieved quickly and seamlessly on the platform.

NFTs will also be integrated into the Plethori platform. In addition to being tradable, they will also serve to reward ETF creators based on rankings and achievements and provide benefits to the community for use on our platform and our various partnerships.

Plethori has a built-in leaderboard that showcases the best user-created ETFs, where rankings are based on performance. Incentives in the form of NFT and PLE token will be paid out to long-term funds, enabling them to climb the leaderboards, earn a large share of transaction fees, and build a solid reputation as an accomplished portfolio builder.

The design of this system has higher benefits for the Ethereum ecosystem, primarily because it helps small traders by reducing the overall network load and congestion by consolidating many disparate transactions. By setting a rate where many traders invest their funds in one ETF, fees will be eliminated for the user and compensated for the fund manager based on their returns.

The system is not limited to the ranking of performance leaders. There are also levels where users and fund creators can level up as their funds perform well. As fund creators level up, they receive benefits on the platform in the form of NFTs. These NFTs will be awarded based on milestones achieved. In other words, "NFT-incentivized performance."

For example; A fund manager with five consecutive funds averaging 25% or in the top 20 on the leaderboard will be awarded an NFT.

These NFTs essentially act as performance badges, and holding them gives fund creator users various benefits, such as access to higher leverage when trading not only on our platform, but also on other partner project platforms.

NFTs on the Plethori platform will serve the following purposes;

-Issued based on milestones achieved

-Act like badges based on achievements and rankings

-Rare benefits with attributes that give benefits on our platform and platforms of other partner projects

-Trading asset

Our platform offers robust features that ensure not only an aesthetically pleasing interface, but also an investor-focused approach to create the perfect combination of form and function.

This includes:

-Connecting Metamask Wallet for secure non-custodial transactions

-Empty wallet integration for secure private transactions

-Ultra-low transaction fees

-Margin trading

-Trading with leverage

-Limit orders

-Advanced Graphing Features

-Detailed information about assets

-Cryptocurrency Market Analytics

-Portfolio management tools

-Market news and calendar

-Video lessons

-ETF Creation Tools

-Leaderboards for User Created ETFs

-NFT gallery

-Alerts

-Staking and farming PLE tokens

-Fiat Gateway Integration

Our PLE token will additionally act as a governance token for the platform, allowing the community to guide the development and promotion of our goals.

-PLE token holders can vote on the platform to determine fund parameters and new features.

-PLE token holders can influence decisions regarding the project, such as rebalancing ETF assets or listing / delisting assets.

-Proposed changes will be reviewed and then approved through a governance system accessed through PLE tokens and automatically applied to smart contracts.