M1 Capital is an Amsterdam-based digital asset hedge fund focussed on market-neutral strategies managing over $100 million in AUM. Starting as a proprietary trading firm, M1 Capital began accepting external capital in 2023 and initially focused on centralized exchange strategies before pivoting to DeFi operations. Today, the team executes a combination of discretionary and automated trading strategies across all EVM chains and Solana, utilizing major DeFi protocols for alpha-generating opportunities including direct arbitrage, TVL deals, leverage yield trading, and basis trading.
Their sophisticated operations require fine-grained transaction controls, vault-level segregation, and comprehensive visibility across DeFi positions. After testing multiple MPC and multi-sig wallet platforms, M1 migrated to Utila to unify their infrastructure and scale securely on-chain.
The Challenge
Operational Complexity and Insufficient DeFi Infrastructure
Before implementing Utila, M1 Capital relied on a mix of solutions that created operational complexity and lacked the granularity required for institutional DeFi operations:
Insufficient On-Chain Capabilities: Previous legacy custody providers lacked the comprehensive on-chain functionality required for M1 Capital’s full DeFi operational needs, preventing them from executing their intended strategies effectively.
Operational Complexity with Multisigs: Using multisig solutions for Solana and EVM chains created operational hurdles with segregated accounts and complex signing procedures that proved cumbersome for their sophisticated trading operations.
Limited Personal Support: While another MPC wallet provider provided good software functionality, M1 Capital preferred more direct, hands-on support and faster feature development cycles to match their evolving operational requirements.
Infrastructure Fragmentation: Managing multiple separate solutions created inefficiencies and complexity that impacted their ability to execute market-neutral strategies seamlessly across different blockchain networks.
Limited DeFi-Native Design: Existing platforms weren’t purpose-built for DeFi operations, lacking real-time position tracking and comprehensive visibility into on-chain activities that M1 Capital required for their sophisticated trading strategies.
The Solution
Institutional MPC Wallet Platform with DeFi Support
M1 Capital selected Utila to anchor their DeFi infrastructure, implementing a comprehensive setup tailored for institutional trading operations:
Sophisticated MPC Infrastructure:
M1 Capital operates with pre-designed transaction approval policies and segregated vault operations using various features in Utila for different operational needs.
Advanced Policy Configuration:
Utila's transaction approval policies provide unprecedented granularity, allowing M1 Capital to specify exact actions within a controlled environment tailored to their complex trading strategies.
DeFi Position Visibility:
Utila provides real-time visibility of DeFi positions directly within the platform, offering transparency not available through other providers.
Exchange Integration Benefits:
Connected exchanges reduce operational friction by eliminating the need for test transfers on whitelisted exchanges, streamlining M1 Capital's security protocols.
High-Touch Support:
Utila's support team provides direct, personalized assistance with fast response times, ensuring M1 Capital's evolving operational requirements are addressed quickly.
The Results
Enhanced Operational Control and DeFi Infrastructure
Since implementing Utila, M1 Capital has achieved significant operational improvements for their DeFi-focused strategies:
Unparalleled Policy Granularity: Utila’s robust and flexible transaction approval policies enable highly specific rules for smart contract interactions that weren’t possible with previous providers.
Enhanced Operational Efficiency: The ability to revoke multiple allowances in a single action has streamlined operations, reducing administrative overhead for their complex multi-protocol strategies.
Real-Time DeFi Tracking: Tracking DeFi positions across multiple protocols in real-time adds operational convenience by consolidating portfolio oversight directly within the platform, complementing M1 Capital’s existing technology stack for DeFi positions visibility.
Responsive Development: M1 Capital benefits from Utila’s rapid feature development and personal attention from the team, ensuring their needs are addressed quickly as they scale their operations.
Robust Infrastructure Foundation: Utila’s MPC wallet capabilities provide the institutional-grade infrastructure required for managing over $100 million across complex DeFi strategies.
M1 Capital continues to expand their DeFi operations with confidence, knowing their infrastructure can support sophisticated trading strategies across multiple blockchain networks with institutional-level security and control.
Steven Wisbrun
Co-founder, M1 Capital
Utila's policy engine is the most sophisticated I've encountered - the granularity we can achieve in setting transaction rules is unprecedented compared to other providers we evaluated. We can specify exact interactions and build precisely the controls our complex trading strategies require. What really sets Utila apart is the personal touch—the team is incredibly responsive, and their pace of development is remarkable.
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