How Osero Raised $13.5M to Manage Sky Ecosystem's $15B On-Chain Balance Sheet

Alright. Oceiro. Yeah. Thank you for having me, guys. How are doing? Pretty pretty exciting day for us. Yeah. Huge day. Give us give us the quick what's going on. There's a lot of stuff on the timeline that I'm actually just seeing for the first time we can pull up here and give give the world the the news. Sure. So, yeah,

I'm Piotr, founder of StableWatch. We've been working on different kind of things related to yield bring products from analytic research to risk advisory. And today, we just announced the incubation of Oceiro, which is a new Sky ecosystem prior known as maker agent. So this party taking care of all the economic activity, taking part taking care of part of the Sky's balance sheet for us up to 2.5 bill. Capital, we could deploy to various type of institutional grade assets.

And on the other side, we extending the Sky cost system and giving people as well as application access to SQSDS, so the biggest yield bearing product out there. And we also announced not only ASR itself today, but also the race, which we close at thirteen point five

Meal with Sky leading that, and plasma Huge. The collate. Where's the confetti, Andre? Do we have the confetti? Is it ready to go? One second. Alright. We gotta repeat that. How much did you raise? Third $500,000. Confetti in 03/21. Oh, this is good. I like this. Let us all Congrats. Thank you. Alright. So give us give us maybe the, you know, the the story here a little bit of, like, the the evolution from StableWatch to what you are now building.

It looks like this is, also, the relationship here is really unique with this, like, incubated model. I'm wondering just, yeah, how this came to be and maybe the relationship with StableWatch and dive into that a little bit. Sure. Yeah. So we

started StableWatch early q one last year, and we've been initially focused on research and data around, like, yield bearing products. So we've been first to come up with a lot of datasets covering the category during the first, like, indexing. All of them really make a lot of research around it. We came up with the YPO. So we yield paid out metric, which now is being used various places and and so on.

We've tried very early to go into this direction of a rating agency, I would say, but it was very hard to pitch it to investors. They haven't really believed that it's possible to come up natively, like, within crypto to to to become kind of a kingmaker the same as S and P or Moody's are on the traditional side of finances. Right? And that the only way to exit such a business would be probably through acquisition as this kind of venture doesn't need a a token.

So to build this kind of this this vision we had initially, so of providing all of the data, but also, like, live reporting on all kind of risk metrics around those products, which is still missing in the space, and I believe it's, like, very big problem.

We just had not enough money to to build it on our own because we would need, like, tens millions of dollars really to to build this kind of an infrastructure to do that live, which is, by the way, very sad to see that so many people are coming up now with AISlop dashboards, playing out their lives, and helping people taking the financial decisions. I think, you're not coming up with with a lot of decisions in the in the long term as as deep research is not suited to help you manage financial risk.

But as we were not able to do that and we've been bootstrapping a stable watch on our own, we need to find some other way to to survive, make revenue, and and so on. So, initially, we were focused on the research and first, like, very big partner who believed in us and and put trust in our team was Plasma, which is co ed investor of this route, and and we're very thankful for for that to to the whole team.

We've been doing a lot of research work, but also custom data solutions for different kind of teams, and we saw that this is not scalable. And, also, we can't really translate that into building even more datasets which could be publicly facing because our mission with stable watch was also always giving people access to reliable data, which can help them navigate this yield bearing space. So we switched to the risk advisory.

We still did quite a lot of research when we needed, but we cut it, work on the data side, and we've built a few models internally. Like, one of them is called stable scene. It's a Monte Carlo simulation where we run a lot of agents through it, and it's, like, based case by case on whatever client would need. But overall, we try to help founders and protocols understand in what kind of market scenarios the protocols would default.

And then we can try to work on, like, minimizing the the risk and the most importantly, let them know what's what can happen wrong. So that was pretty successful, and quite a lot of projects really wanted to to work with us.

And while we were doing, like, more and more engagements in this human bearing space, we, like, really, every time we're even looking at Sky ecosystem, we've been really amazed in how the model is working there as the risk framework is inspired by Basel three, which is, like, banking regulation introduced after two thousand eight crash to minimize all of the things which could go wrong with with any kind of allocations, like, on the in the in the banking system and how scalable this solution is where few white listed parties called prime agents take care of this economic activity.

Those different teams are focused on different piles of the markets. They get different kind of edge. Spark guys, for example, are super experienced on the DeFi side or growth guys who got really great expertise on the RWA side, especially underwriting credit and and so on. So we started the engagement with Sky, I would say, around November last year, and we became contributor mostly on the data side as well as the as the risk side.

So right now, if you would go deep into the to Sky Forum and one dog called Atlas, I know it's, like, pretty big task to go Yeah. Over all of that. Like, Sky ecosystem is a pretty complicated creature. But overall, you you could see, like, a crazy name, Lanakia, which is big new vision of how Sky Ecosystem gonna be transformed. I'm curious to break this down a bit. So you were you were first trying to be this kind of kingmaker,

And then I said, you know, to truly do the the live data and all that, it just requires an amount of capital and scale. So you shifted a little bit towards advisory, but that wasn't quite scalable. Then you got into risk advisory. You started really hitting it there. And then this risk advisory business, which it seems like there's something there you're telling us, maybe we could prevent a repeat, analogous repeat of the two thousand eight crash. That sounds pretty good. I don't want another one of those.

I don't think anybody does. But is Oceiro a new evolution too? Stable watches, that sort of risk advisory, and Oceiro is a new evolution because this is kind of savings account. Right? Stablecoin savings account? Yes.

How I would say it and why all of this intro to this. Oceiro is one of, like, five white listed parties in this Sky ecosystem called Prime Agents, and we got dual mandate. So on one part, we like, expanding the SKYY cosystatten and letting more people access their primary products, USDS, which is payment stablecoin, and especially SUSDS, which is the yield bearing product, a yield bearing version of the stablecoin, and the biggest one in the in the whole market.

And CUSDS is based on this whole risk framework to which we already been contributing, to which we have built a big part of the data indexing for and so on. So we got, like, great expertise in how this really works and been, like, really excited about the product. We believe it's the most scalable one, and and and it's it's just great. So this is only one part. Those are, I would say, kind of BD activities. I would call it on the other side, you can see Osser Foundry.

And this is Ossero managing part of this kind of balance sheet, biggest balance sheet on chain at the moment with around 15 bill on it. And we are looking to onboard new kind of assets into into Sky Custerstone. So at the moment, the balance sheet so backing of s u s d s is consistent of some stablecoins so we can meet any withdrawals and meet the needs around the liquidity. This is mostly USDC. It's more than four bill of tax on the on the balance sheet. You also got some RWAs like MMX or T bills.

We had some exposure to, CLOS. So private credit and a proxy through Anderson, Burger King, or or or Twitter to to come out from from from Sky, you could say. And what we're doing is we're looking for those new opportunities like, let's say, short term payments financing or maybe that would be reinsurance, any kind of exposure which would be uncorrelated to what is already on the balance sheets so we can mitigate the the concentration risk. So overall, just looking for a new assets which Sky could put money into.

Would you say that that is when you think about the advantage of the history of StableWatch,

the risk, the data clarity, the team you've built, talk a little bit talk a little bit about the advantage you see in identifying those opportunities and evaluating the risk that comes with actually doing this type of portfolio curation or structuring well and and maybe the unique advantage you guys have there. Sure. So

we got really great expertise, especially when it comes to the data side of things as as well on the on the risk side. So on the data side, you can see part of our work publicly in stable watch, but there's also a lot of stuff, like, we build internally either for clients or just for us. Also big part of that, we build for for Sky. So we got really granular view of everything what is going on within the DeFi ecosystem, what are all of the interdependencies between different kind of assets.

Because if you look at asset a and asset b, you could think that if you allocate 50% into this 50% into the other one, that you're somehow your portfolio is not concentrated, like, within one connected party, but then you got the same Oracle. Maybe maybe the protocol a actually is allocating half of its supply to protocol b, so you have some, like, rehyper around them and so on. Right?

So so we, like, been doing this kind of research and data indexing for a very long time, and we just got good understanding of what's going on in the in the space, and we got capabilities to really fast come and build the new data pipelines if there are any new products out there and if they're on chain, of course, because a lot of the stuff that you can see got the RWA exposure, and then there's, like, off chain stuff, which you can also access, but you need also some legal work and and so on.

It's it's not that easy as just looking at the stuff on on the blockchain side. When it comes to the risk side, we've been core contributor to the Skyco system and to the, like, Wanakia, so this whole restructuring, let's say. Beside the data part, we also help a lot on the risk side. And thanks to this, we understand well what are those constraints and what's kind of really would like to do within the new allocations, what kind of a risk profile should be there.

So it's much easier for us, I would say, to think already on the first glance if this would be something we should be spending our time on and teach it, like, to Sky, show it to to the forum and try to onboard, or it's maybe not a good time, maybe not a good risk profile. So I would say we just got really great understanding of what's going on in this in this very complicated creature, as I said, which is which is what we call. So you have these three core areas here that we're looking at on the screen,

and I'm imagining they maybe exist independently, but also have really interesting relationships with each other, Earn, App, and Foundry. So Earn, it looks like, is this kind of embedded solution that you can sell into a the application layer, companies that are already building their own apps that they want to have the ability to embed things like yield into the into their experiences. But then you also are building your own app on the Ocearo app, giving retail and institutional users direct access to this.

Maybe talk a little bit about the differences there, like as you bring that app to life, what is the relationship or uniqueness between like, why would I use this app versus just going into an existing application

with that Earn product embedded? What would be the kind of benefit of that, or how are you thinking about the differences there? Sure. It's a it's a great question. So the main difference between Ocere Aeron and Ocere App, like, Ocere Aeron has a b to b line, so we still just want to come to the end customers with the same kind of a product. But we know that most of them already got their favorite apps. Right? Maybe they just want to use Plasma one.

Maybe they only want to use one kind of a wallet and don't really want to install a a new one. Right? So we want to bring SUSDS, which is the biggest yield bearing product out there, the most reliable with the most liquidity and the risk profile where you got junior risk capital. So if some misallocation by any of the agents like us would happen, this is gonna eat the loss first and not the users.

And at the moment, there is I will need to check the data, but I believe over 70,000,000 of JR's capital sitting in terms if something would happen. And there also you got messes in capital and so on. So there's actually a waterfall of losses, which you can understand. And then it makes it I wouldn't say easy pitch, but pitch which is really different than any kind of a savings product out there. And with this, we just want to be integrated with your favorite app where you already have your funds.

When it comes to our own app, there is still a lot of users who are not decided yet, where they would like to park their money and so on. And they can just do it through our own application, which is not live yet, but it's fingers crossed going live very, very soon. Stay tuned. What is the differentiator is that you got much more clarity over the liquidity profile, the whole backing, the dependencies behind the savings option, and so on. So we just put in work all of the data capacities we had we have.

So it's easy for you as a user to understand what is in this very moment happening with your money and if you're safe being allocated into into that product, when and how much you could withdraw.

So what what now happens to StableWatch in terms of I mean, I know that you've built you have a community there that seems really active. The product and the, like, the dashboard itself, as we're looking at here, I'll pop up. Like, it just continues to get better and better. We've been following this. Like, in our business, we've been thinking through this, as you know, just like how do we help make data visible? How do we how do we bring research, media, and data together?

It is an interesting thing, though, of, like, where where are the profit centers within this business, and how do you actually monetize this? What is the end goal? I think we've thought about we've thought a lot about that and I think equally struggled to anchor what makes sense. I guess what is the future of what I think you I mean, knowing your team and knowing the the group of people that you've built, you know, I can trust that, like, there's been so much effort and existing build in this product.

What what happens now to to StableWatch in terms of the analytics? And is this something that's gonna continue to kind of exist and thrive and go up into the right, or is this something that's gonna maybe phase out over time in your mind or become less of a focus? Yeah. So

it's it's very, like, interesting, and we've did a lot of customer, like, user research and interviews to understand what they would like to see of StableWatch and out of our offering. And you could see that some time ago, we actually cut it out some of the data which have been on the platform because we realized that, like, 95% of them actually wants to have only maybe not surface level of the depth of data, but

love this. Sorry to cut you off. This live yield paid out, that's sick. It's like since I've clicked this link I mean, that's sick. So since since yeah. I mean,

it's so cool. All these little things. So continue forward. Just it's fun. We can we can kinda see this grow in real time. You know? Yeah. It's it's my favorite feature as well. So great to see you love it too. But so, yeah, we what we're focused on at the moment is not really scaling vertically. So we used to add a lot of depth of the data for each position, and that means you need much more people to do that.

It's much more indexing, much more cost you need to bear and so on if you want to go into, like, really granular data. So we've seen that most of the users actually don't use that. And the most of this in-depth data, we only use it when we work, like, one to one with some clients, right, with Sky or Plasma or whoever else that that was.

And it makes no sense to bear all of those costs, make all of this indexing, and and have no really revenue out of that stable, which is a is a public good on that front of of a dashboard as well as the research. So what we're gonna be doing is we are scaling horizontally. So if you're gonna go to the home page up there on the on the left side, you can see that at the moment, we're indexing almost all of the yield coins.

So those yield bearing stablecoins I mean, this is a wrong name, but most people call them like this. But you could see there is lending grade out there, reward assets, and derivatives, like PDs from and so on. Right? So we just want to cover the whole yield market to to say, and this is, like, the next big thing for us. And then we begin doing what what we did always, so listening to to our users on what they need and and what they would like to to see next coming out of this.

And then if you would go to our research, so you you yes. This is it. And you can click on state of the market maybe, please, on little bit down. Oh, yeah. Yes. So we came up with this new new format, which is called stable watch memo. And when you're gonna read it, you will see that this one or the first one, third one is coming in a in a few weeks. It's like really in-depth research, which is focused on this intersection of Trefi and DeFi.

So what we're doing here is we're talking about what is going on in traditional finances, how the market looks like. The first piece was about the distress in the private, credit market. And then we talk about how DeFi is positioned for that and maybe if this is already impacting DeFi and the products we have here already, or maybe not, and try to combine both parts of the data. The trade fair one coming from, like, big venues, like maybe Pinko, KRR, and so on.

So we're using a lot of, you know, top industry research from this part, and then we come in with our expertise trying to combine that. So both group of the users, stratify ones and, like, on chain natives can understand better where all of this is going as our vision is the same as we when we launched StableWatch that all of the finances of the settlement,

not not only payments, but also when it comes to yield products, gonna be happening on chain. So it's super exciting to to just stay on updated on on that. And this is what's what we must look gonna be doing on the on the research side of StableWatch now. Yeah. Amazing. Maybe maybe last question for you as we as we wrap here. One, thanks for thanks for giving us some time today. I know you have a a huge day, and It's just day. Super exciting news.

As a as a bootstrapped founder, this seed round, I'm sure, is, like, just incredible to have in public and be able to invest where you really want to. So congrats. And I Thank you. What what is the maybe last question for you. What is the best way that StableDash as a media business focused on category can work with what you're building to support Amplify, highlight the right things, bring some of this data to life? Like, what how can we serve you and the users you have better? Yeah. Thank you.

And and and really interesting question. I would say that it's really important to always highlight

when we see that something is going wrong in the space, and we've been very early calling few projects out, like Stream Finance, for example, which, by the way, tweeted something, I think, yesterday, which is pretty funny after such a long time, that it's a black box, and you can't really see, neither understand what's going on inside. So it's like just a few guys on a on a multisig.

So I think just highlighting when we don't like something as as builders is important not to blame anybody, but rather in because we want to bring more transparency. Right? And and we should be asking right questions about where the yield is coming from, especially. So this is the the one thing.

And the other is I believe we're already crossed this inflection point where pretty much everybody on the trade side, no matter what kind of a venue you're gonna think of from back to GPN, they already not only testing cloud, but they're working with some on chain setups with the within their firms. And it's very important to to cover that, help those people understand what we are doing here as well as help us, like, web three native people to say, go through smooth transition

because those two words definitely gonna merge very soon, I believe. Amazing. We actually have some interesting stuff cooking with Anna and the Piranha team. I know that you're close with them on, like, exposing some of this stuff under the hood. So I'll follow-up with you on that. We're trying to get some, like, where, yeah, where does yield come from? How can we expose this? How can we bring transparency to this? So, yeah, would love to involve you in this. So, Piyot, thanks for the time. Big day.

Appreciate your appreciate you joining. Thank you very much, guys. It's it's been a pleasure, and, yeah, see you later on. Love this show, so thank you again for for inviting me. Awesome. Have a good one.