Midas launched in the third quarter of 2024 to offer tokenised certificates via blockchain infrastructure and bring investment-grade assets to the open web. The German startup removes long-standing barriers by putting top-tier strategies on-chain, so accredited investors outside the United States and United Kingdom can participate directly from their wallets.

‍

Investors send USDC, receive a liquid yield token (LYT), and immediately deploy that token across DeFi protocols such as Morpho and Pendle. The tokens remain fully composable, giving holders collateral options that traditional structures cannot match.

‍

Nine months in, the 12-person team has already secured about $700 million in total value locked. Asset managers, including MEV Capital, RE7, Hyperithm, Apollo Crypto and Edge Capital, distribute their flagship strategies through Midas, confident that the platform’s blockchain rails keep their products accessible, usable, and liquid.

‍

The Challenge

Because every LYT is backed by collateral that is held by Midas as an issuer, the company must hold its own keys. Yet its outside strategists, crypto-native hedge funds executing third-party trades on frontier chains and dApps, at high speed on frontier chains and dApps. Together, those realities set three clear requirements for a custody partner:

• Self-custody with no trade-offs. Backup shards stay with Midas while managers deploy capital without bottlenecks.
• Policy-matching engine with tri-party quorum. A waterfall of rules evaluates every transaction and auto-executes only when it finds an exact match; anything outside that cascade routes to a three-party governance quorum, blocking m-of-n collusion and keeping approvals fast and exhaustive.
• Network effect from day one. By joining the Fordefi network, Midas can stand up tri-party governance workspaces that plug into the same 200-plus chains and counterparties already vetted by other Fordefi clients — so traders can deploy capital as early as block one without rebuilding controls or re-whitelisting venues.

A fourth need surfaced after the switch: rapid, hands-on support that turns change requests around in days, sometimes hours, giving the lean team confidence to scale.

‍

Why Midas standardized on Fordefi

After hands‑on trials with several custody platforms, Midas decided to run their DeFi strategy through Fordefi and now steers new partners to do the same. Four factors drove the decision.

1. Policy engine enables shared, tri-party governance
   Operations defines limits by address, asset, contract method and notional size, then binds them to a tri-party approval setup: Midas treasury, the asset manager and an independent oversight signer. Transactions that match a rule clear automatically and never leave Midas’s custody; anything outside those parameters routes to the three-party quorum for review. Managers keep execution speed, the issuer keeps final authority, and no single group can act unilaterally.
2. First‑class connectivity to emerging chains and dApps
   Before transactions are signed, Fordefi surfaces transaction data and lists the expected balance changes, allowances, bridge routes, gas cost, and any red- or yellow-flag risk alerts. Risky interactions can be blocked in seconds, so Midas can grant broad access to its strategists without fearing surprises.
3. Tools that provide transaction clarity
   Fordefi’s platform supports 90+ integrated blockchains — Bitcoin, Solana, Sui, TON, Cosmos, Aptos and more — and a self-serve BYO EVM flow that adds new roll-ups in minutes. Support for emerging chains like Hyperliquid enables managers to deploy capital wherever opportunities appear, and Midas doesn’t have to wait on vendor support.
4. 24/7 White Glove Support
   A live support team is available around the clock. Feature requests and fixes typically ship within days, giving a 12-person team the confidence to scale without waiting on a vendor.

Together, these controls, simulations, network reach and round-the-clock support let Midas keep tight oversight of capital while giving each asset manager the speed and flexibility needed to scale the platform and deliver an internet-native experience to every client.

‍

A look at Midas vault performance powered by Fordefi

Midas uses Fordefi’s custody stack to let top asset managers run on-chain strategies while the issuer handles the back office. The flagship mMEV vault with MEV Capital has grown from an initial $250,000 seed to more than $80 million, making it one of the largest strategies referencing stablecoin-denominated assets. Similar structures power mEDGE with Edge Capital and mRE7Yield with Re7 Capital, with new stable-coin programs from Fasanara and Hyperithm already gaining traction. All vaults settle through Fordefi workspaces, keeping investor tokens liquid and composable across DeFi and giving managers day-one access to fresh networks such as Hyper EVM.

‍

How the collaboration works

• Keys stay with the strategists; oversight stays with Midas. Each manager holds its MPC share and trades from a dedicated Fordefi workspace. Midas maintains an admin share that enables the issuer to enforce policy without impacting strategy capital.
• Rules clear routine calls and route exceptions to a quorum. Vault-specific limits by address, asset and size let small rebalances execute automatically after simulation, while size breaks or new contracts still need multi-admin approval.
• Self-serve chain expansion keeps yield within reach. Fordefi’s built-in coverage and BYO-EVM flow let Midas add networks such as Hyper EVM in minutes, so managers can deploy capital as soon as liquidity appears.

The result is an internet-native platform where investors hold liquid tokens, managers may deploy capital within agreed policy parameters., and Midas keeps governance intact — fueling growth that pushes each new vault higher, faster, and across more chains.

‍

The road ahead

Midas has shown that a regulated issuer can run internet-native strategies without giving up custody or control. Its next phase taps the Fordefi network effect: every new manager that joins a Fordefi workspace brings pre-vetted counterparties, audited contracts and ready-made governance templates that other clients can reuse. The shared infrastructure lets vaults cross-pollinate capital and unlock fresh liquidity.

‍

As Midas and peers like MEV Capital, Edge Capital and Re7 launch more strategies — mMEV, mEDGE, mRE7Yield and a pipeline of stable-coin programs from BlackRock — the combined TVL grows faster than any firm could achieve alone. Tri-party governance keeps each workspace ring-fenced, Fordefi’s MPC wallet keeps the keys in issuer hands, and 24/7 support clears obstacles before they slow trading.

‍

For issuers looking to offer liquid, on-chain investment products without giving up the keys, the Midas story shows what’s possible when custody, governance and chain connectivity come together in one platform. Talk to us to see how the same stack can power your next vault.

‍

‍

Disclaimer: Midas-issued tokens are structured as qualified subordinated debt instruments. Investors have no ownership or legal rights in the underlying assets. Redemption amounts are based on the product terms and available collateral. Returns are not guaranteed and past performance is not indicative of future results.

‍

Tokens are available only to eligible non-US and non-UK persons, and are not available to persons in sanctioned jurisdictions. Midas acts solely as issuer and does not execute trades on behalf of investors. Smart contract logic is subject to operational and technological risks.

‍

This is not investment advice. Read the Prospectus and legal terms carefully before making any investment decision. Full Investment Disclaimer: https://docs.midas.app/resources/legal-documents/investment-disclaimer