Commenting on the aim and popularity of Makara, the company’s co-founder and CEO Jesse Proudman said: “We believe Makara is solving real and existing obstacles for individuals accessing the cryptocurrency market. Seeing the initial interest from our waitlist gives us confidence that our thesis is correct.”
“This is still a retail-led asset class and we believe Makara can empower every investor to learn more and benefit from all the potential that cryptocurrencies offer,” Proudman added.
Makara has been testing its technology for three and a half years. With their service and mobile app, the company aims to increase accessibility to cryptos through different asset baskets, similar to index allocations. “Clients are able to gain broad exposure to a curated set of strategies based on their interests and goals,” mentions Makara. The app uses the Gemini crypto trading platform for the buying, selling, and storing of assets.
The baskets on offer include: An equal-weighted Decentralized Finance (DeFi) basket, a risk-weighted Universe basket containing all assets the platform has to offer, an equal-weighted Inflation Hedge Basket focused on tokenized gold and Bitcoin, a Blue Chip basket containing cryptos that have a cap of over $10B, a Bitcoin basket, and an Ethereum basket.
Comparing Makara to traditional robo-advisors, Produmand said: “Traditional robo-advisors help their users invest in ETFs but obviously there aren’t any crypto ETFs in the U.S. right now. And, if there were, investors would only be able to move in and out during traditional market hours…We believe investors deserve true access and exposure to crypto whenever crypto markets are open, which is why our thematic baskets are so compelling.”
Besides their asset baskets, the Makara platform also has educational resources for new and advanced crypto investors. According to Makara co-founder Sadie Raney, “Investors should understand what they’re investing in, which is why education is a huge component of Makara. We want our clients to feel like they’re learning new things every day as part of their investing experience.”
Makara claims to have “millions of dollars” in assets under its management (AUM) through its beta clients. The robo-advisor is available in the App Store and the company plans to release it for android in the coming weeks. U.S. residents who are at least 18 can use the app. The waitlist will remain open for the next couple of weeks and waitlist participants “will also automatically have the first six months of their Makara fees waived,” mentions the press release.
Launched in 2020, Makara is a spin-off from the team of the crypto manager Strix Leviathan. The company enables users to passively invest in many different cryptocurrencies through its thematic baskets.
According to Makara’s official website, the platform “provides an opportunity for anyone to invest in a basket of digital assets. For as little as $50, you can invest in crypto in less than five minutes. There’s no prior knowledge required either, since our education-focused approach takes the inscrutability out of crypto.”