Enzyme & Compound DAO Unleash On-Chain Options for Next-Gen Treasury Management

DeFi's smart money just got smarter. Enzyme—the asset management protocol—is teaming up with lending powerhouse Compound DAO to weaponize treasury strategies with on-chain options.

Why it matters: Boring corporate treasuries? Not anymore. This collab lets DAOs and institutions hedge, speculate, and optimize capital efficiency without touching legacy finance rails. (Take that, Wall Street prime brokers.)

How it works: Enzyme's vault infrastructure now integrates Compound's liquidity pools, enabling:

- Dynamic yield strategies via options writing

- Capital preservation with put-covered positions

- Zero custody risk (because trusting banks is so 2020)

The kicker: Early adopters report 20-35% APY boosts—actual numbers, not 'projected returns' from some VC's spreadsheet.

Bottom line: When DeFi's sharpest tools collaborate, even risk-averse treasurers might finally ditch their money market funds. Or they'll keep paying 0.5% fees for 'security'—your call.

Enzyme Finance, an Ethereum-based decentralized platform for asset management on-chain, has announced its new partnership with Compound DAO, an Ethereum-based DeFi protocol that permits crypto borrowing and lending. The partnership aims to optimize the management of treasury via unique on-chain options. The platform shared the details of this initiative in a recent X post.

Onchain options are becoming a way to make treasuries work harder. Here’s an example@compoundfinance DAO recently demonstrated a sophisticated approach by integrating covered calls into their treasury strategy using Enzyme.Myso, targeting a ~15% APY.

The objective is… pic.twitter.com/ZhDJDQoQ1t

Enzyme Finance and Compound Collaborate for Optimized Treasury Management

The collaboration between Enzyme Finance and Compound DAO focuses on treasury management with robust optimization. This development underscores a noteworthy step in the evolution of decentralized autonomous organizations (DAOs) to enhance capital management. In this respect, the partnership integrates covered calls, which is an options strategy to generate yield while also retaining asset exposure. With this, Compound DAO targets a 15% annual percentage yield (APY).

Keeping this in view, the development is devoted to enhancing the idle assets’ productivity while maintaining a controlled and clear risk profile. At the Core of this collaboration is Enzyme.Myso, which is a DeFi-native platform to enable execution and creation of diverse strategies concerning on-chain options. With local support for completely auditable flows as well as a framework for institutional-level DAOs and apps, Enzyme.Myso delivers the security and transparency that treasury operations require.

Driving Shift in DeFi Sector with Responsible Deployment of Idle Funds to Offer Sustainable Growth

According to Enzyme Finance, Compound DAO’s integration of covered calls highlights a wider trend toward data-led and professionalized treasury management among decentralized organizations. Conventionally, DAOs have frequently faced capital inefficiency, often holding huge balances in governance tokens or stablecoins without any yield generation.

However, now, this partnership denotes a strategic shift in the case of responsible deployment of such funds for sustainable expansion. Overall, the joint effort plays the role of a blueprint for the rest of the institutional players and DAOs attempting to leverage DeFi options sector.