Intro and Background
Index Coop DAO builds onchain structured products and its mission is to make it easy for people and agents to access crypto - no matter their financial expertise or wealth. Index Coop powers leverage and yield tokens, which can be found in the Index Coop app and in CEXs, dApps and wallets.
This report aims to keep token holders informed about the latest news, roadmap and significant successes and challenges. In January the core contributors internally retro’d the bets made in 2024 and the updates to community members; evaluated wins/losses/issues; and begin 2025 with more focus on: 1) building on the success of leverage and leverage yield products to drive revenue, before 2) upgrading Index Protocol to enable modular, automated and AI-enhanced strategies. Index Coop is likely to look very different by year end.
You can read the last report here .
Thank you for reading.
January Close
- TVL: $92.4m*, +$9m MoM
- Monthly net dollar flow (MN$F): +$10.6m
- Runway: 4 years.
*Single counted TVL, not double, triple, or other counted.
News From January
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Product focus via @0xdunerider: i) hyETH was reallocated and opened up for fresh deposits, with TVL quickly growing +205% from ~1,299 WETH to ~3,964 WETH by January 31st. While inflows were expected from this test, early results have been validating and further opportunities with Morpho and Gauntlet are being evaluated; ii) 2x and 3x BTC leverage tokens were shipped on Base and additional tokens (SOL, SUI) will be joining the Base Leverage Suite in February; iii) contracts were deployed for the wstETH15x “Super Loop” - a new leveraged yield product built on Base and utilising the Morpho and Aerodrome adapters. This is another product test in the yield category that plays to the protocol’s strengths - keep an eye out for this shipping in early February; and finally iv) the App engineers improved UI/UX, added a data proxy to the v2 Quote API and shipped a much requested trader PnL feature to the Leverage UI.
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Growth focus via @0x_Dev: i) published the Focus for 2025 blog; ii) concluded the most recent BD push on icUSD and found that most large leads except Mercado Bitcoin and MetaMask are not showing enough interest**, so deprioritised icUSD in its current form in BD focus; iii) sync’d with Product re icUSD becoming a higher yielding USDC product (potentially on Morpho and allocated by Gauntlet); iv) launched 2x and 3x BTC tokens on Base; v) finished baking the plan for the new marketing site (to work better with the fast-evolving app site), vi) supported the hyETH re-launch on Morpho; and finally vii) got a deal with MetaMask to feature the leverage suite in the Dapps and Tokens sections of MetaMask Portfolio to the one yard line***.
** The limits to Circle’s BD support for icUSD, combined with its low risk low yield profile, now shows that icUSD is not landing with enough interest at integration partners. So it’s time to explore a higher-yield, higher-risk product (potentially built on Morpho with Gauntlet), which could significantly reduce support costs and stand out more to integrators. Circle’s previous support and credentialisation did help Index Coop significantly increase its BD network, which will be leveraged to push a more differentiated USDC offering that better fits into partners’ yield sections.
*** If the contract gets signed promptly, and placements go live, Index Coop will access a portion of MetaMask’s seven million monthly users in February. The ROI potential of these placements has been extensively (and hopefully conservatively) modelled: suggesting that ROI should be quite positive.
Focus For February
- Sign the contract with MetaMask and get leverage token placements live.
- Firm up the icUSD → hyUSDC plan, then update integration partners and start BD again.
- Promote new updates to the /leverage UI enabling PnL tracking.
- Promote new Base leverage tokens and the 15x wstETH “Super Loop” token.
- Tighten the AI-related planning, strategy and execution.