What is Velvet?
Figure:https://www.velvet.capital/
Velvet is an integrated AI trading assistant, portfolio management system, and intent execution engine within a Decentralized Finance ecosystem platform. It allows users to trade directly from their wallets, build and manage portfolios, and execute AI-driven strategies without needing to transfer funds to a centralized platform.
Velvet provides four core capabilities:
- AI Framework (Velvet Unicorn)
- trading terminal
- Portfolio Management and Community Investment Fund
- Customizable white-label Decentralized Finance application
The core functionality highlights of Velvet
- No custodial trading: Users can trade directly on chains such as Solana, Base, Ethereum, and BNB Chain without needing to deposit assets onto the platform.
- Asset Management: Create private or public investment vaults, suitable for KOLs, DAOs, or investment groups.
- Intent Execution Engine: Issue commands for trading, rebalancing, and swapping through natural language.
- One-click yield strategy: Bundle operations such as staking, token swapping, and authorization into a single execution to improve on-chain interaction efficiency.
Velvet Unicorn: AI-driven trading brain
Velvet Unicorn (abbreviated as VU) is the intelligent hub of Velvet OS and is a multi-agent self-learning AI system. It supports natural language question answering, technical analysis, social data sentiment analysis, and on-chain data parsing.
Users can ask VU:
- What new tokens are available on the Base chain today?
- “What do you think of the $VU token?”
- Analyze the trend of $VELVET and predict the price.
More importantly, VU can automatically execute trades or adjust portfolios based on analysis results, truly realizing “AI makes strategies, you make decisions.”
Token Economic Model: The Value Support of VELVET and VU
The Velvet ecosystem consists of two core tokens:
1. $VELVET
As a platform governance token, its functions include:
- Discounted Fees
- Real-time profit distribution (derived from platform revenue)
- Voting rights (deciding on DAO fund usage, integrating projects, etc.)
- Participate in activities such as Launchpad, airdrop incentives, etc.
Staking $VELVET can earn veVELVET (voting locked rights), and the longer the staking duration, the greater the rights.
2. $VU
As the “fuel token” for AI reasoning, used to pay the invocation fees of Velvet Unicorn. Among them:
- 33% burn
- 33% enters the R&D funding pool
- 33% allocated to veVELVET holders
This design ensures that the more frequently the platform is used, the more actively the repurchase and destruction of VELVET occurs, forming a positive cycle.
Latest developments and market trends
According to the official roadmap, Velvet is accelerating the advancement of Phase 3 features: AI-driven automatic trading and yield optimization strategies. The platform has collaborated with multiple derivatives protocols and lending platforms to develop cross-chain Delta-Neutral strategies and asset custody modules.
Recently, the $VELVET token has been launched on multiple DEXs and has initiated early incentive airdrops, attracting well-known institutions such as Binance Labs and Selini Capital to participate in early investments, further enhancing its credibility and growth expectations.
Conclusion: Who is Velvet suitable for?
- Newbies or DeFi users looking to discover potential opportunities using AI
- crypto traders seeking a more convenient trading experience
- KOLs and DAOs need tools to create their own on-chain investment portfolios.
- A fund manager who hopes to provide Decentralized Finance investment services to clients through white label applications.
Velvet is gradually turning the future vision of “AI + DeFi” into reality, which is worth long-term attention.
