Finance Nest - A Thread of Monthly Financial Report Publications

Index Coop 2022 Q1 Financial Review

Finance Nest is pleased to present the 2022 Q1 financial review for the Index Coop! The report takes a deep dive into the Index Coop financials and performance looking back over the last 3 months.

Here is the pdf version of the report:
Index Coop Q1 2022 Financial Report (3).pdf (4.9 MB)

Or alternatively, grab yourself a hot or cold drink and join your favourite hosts @Hammad1412 and @ElliottWatts to run you through a high level overview of the report.

Below we provide some key highlights from the Q1 financial review.

  • Revenue totaled $877K, down 56% from the previous quarter

  • Total Q1 loss stands at $1.7M

  • The largest contributor to revenue to date is ETH2x-FLI accounting for 59% of the total revenue

  • Our community treasury stands at $42.5M ($INDEX makes up 77%)

  • We have released 7 new products since the last quarter!

  • Total TVL is down 33% from Q4 from $362.5M to $239.2M

  • We have also seen aggregate trading volume on a 7 day moving average drop to $4.43M a 59% decrease

  • Total unit supply for all products increased from 1.9M units at the end of December to 2.9M at the end of March, largely due to the launch of our FLI product suite on polygon. This has accounted for nearly 1M units in March.

  • For season 1 and the first two months of Q1 we have seen an average of $268k worth of spend being paid in stablecoins
  • Stablecoin holdings are $8.7M
  • 33 month stablecoin runway, calculated at the gross burn rate - treasury tables / stables average monthly spend

  • Two standout performers are DPI and ETH2x-FLi which has amassed $5m for the Coop since launch and contributed to 82.68% of total revenue for Q1 of 2022.
  • Also worth noting here that not all of the rebalancing costs are borne by the Index Coop and Set pay for the gas costs, in the coming months set is positioning to transfer this cost over the Index Coop.

You can find the product profitability metrics since launch in the presentation alongside the review for the polygon product suite.

  • Contributor rewards are 11% down compared to January spend (which was the last month before the start of season 1)
  • Other expenses are down by 7% since January largely due to impression mining costs being down 53%

Dive into the report for a budget vs actuals review of the whole quarter.

You can find the detailed financial statements (profit/loss statement, token flow statement and balance sheet) within the report. As always, please let us know your thoughts and if there is anything else you’d like to see in the next iteration.

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