Why we’re backing Brahma
At Greenfield, we expect further shifts from custodial products to non-custodial yield generation opportunities, driven by the need for transparency and access to on-chain data.
Additionally, with further tokenization of real-world assets, which will bring the currently very attractive treasury yield on-chain and general volume picking up again, we expect the outflow trend to reverse and more participants to come back on-chain. Which ultimately become potential clients of Brahma.
We emphasize that sophisticated on-chain actors demand more customized, complex strategies than those typically provided by custodial services. As DeFi protocols become more complex and numerous, the appeal of tools that simplify this complexity will grow. Since in-house automation and monitoring is resource-intensive, self-custodial infrastructure offering built-in DeFi tooling becomes very attractive.
Brahma’s synergies from building on top of Safe present also a unique opportunity for synergistic growth. As a tool that can enhance Safe’s external adoption, Brahma’s strategic relevance offers a competitive edge. Out of Safe’s total assets, roughly $10B are in “major” assets, which are commonly utilized across border DeFi. Even a 1% adoption of Safe’s major assets and 1.4% of its TVL subscribed to advanced Brahma automation is something we believe is not a high bar to achieve in terms of Safe penetration mid-term, especially given the strategic support and Safe Foundation being on board in this round.
Lastly, Brahma’s crypto-native team possesses an impressive track record and a deep understanding of the industry. The team’s extensive connections within the industry, coupled with support from a diverse investor base, provide an advantageous network effect, furthering their reach and potential for growth.