Websea Introduces Principal-Protected ‘Yongying Fund’ Aiming for 36%-58% Annualized Yields

Executive Summary

Global crypto asset trading platform Websea launched its strategic innovative product, the Yongying Fund, on September 29th. This product is a principal-protected Web3 wealth management offering annualized returns between 36% and 58%, and aims to establish a new industry benchmark by integrating a risk management framework into crypto wealth management.

The Event in Detail

The Yongying Fund is positioned as a pioneering Web3 wealth management product from Websea. It is structured around three core mechanisms: principal preservation, accelerated returns, and ecosystem deflation. The fund explicitly states an offering of annualized returns between 36% and 58%. It introduces an exclusive principal-protection mechanism for WBS, Websea's platform token. This product also consolidates future inflows, with new subscriptions to existing Wave Staking products no longer available.

Financial Mechanics

The Yongying Fund implements a specific principal protection mechanism linked to the WBS token. If the WBS redemption price falls below the subscription price, the system will compensate the difference in USDT based on the subscription value, ensuring the user's principal is protected. Conversely, if the WBS redemption price exceeds the subscription price, the system will burn the excess WBS above the subscription value, contributing to token deflation. This model ensures users receive their original subscription principal along with an annualized yield denominated in WBS, regardless of market conditions. The WBS token has reportedly surged 300% since January 2025, rising from $0.36 to $1.47. Its economic model features high staking rewards, with an annualized yield on pledge of 45%-76%, and a strong deflationary mechanism, where 10% of the monthly platform fee is used for the repurchase and burn of WBS. Over 10 million WBS were staked by July 2025.

Business Strategy & Market Positioning

Websea's launch of the Yongying Fund represents a strategic move to address the historical volatility and risk associated with crypto wealth and staking products. The platform aims to demonstrate that crypto wealth management can safeguard principal while delivering innovation and returns, thus establishing a new industry benchmark. This approach transforms WBS from a utility token into an ecosystem's "lifeblood," fostering a robust, long-term, closed-loop ecosystem. The fund's structure replaces new subscriptions to previous offerings like Wave Staking, consolidating future investment under this new model. The platform emphasizes a safer, smarter earning experience for users while fueling sustainable growth for the WBS ecosystem.

Market Implications

The introduction of the Yongying Fund could attract significant capital flows to Websea and its WBS token, potentially increasing demand for similar innovative DeFi products. If the fund's claims of high returns with principal protection are validated and widely adopted, it could reshape the landscape of Web3 wealth management. This would set new standards for yield generation and risk mitigation, potentially influencing other platforms to develop comparable products and attracting a broader range of users to digital finance. However, the sustainability and underlying risk of such high returns combined with principal protection claims remain key factors for market participants. The market sentiment is currently uncertain, with potential for high volatility or strong bullish sentiment depending on product validation. A potential point of confusion for investors could arise from the existence of another entity, "Yong Ying Global Investment Co.," which has been associated with cryptocurrency investment fraud complaints by the California Department of Financial Protection and Innovation (DFPI). While Websea's "Yongying Fund" is a distinct product, the shared name might warrant careful distinction by investors.

Expert Commentary

Industry insiders view the Yongying Fund as a "paradigm innovation" in Web3 wealth management. This perspective suggests the fund could open new low-risk, low-threshold entry points into digital finance, appealing to a wider range of investors, particularly those who are risk-averse or inexperienced.

Broader Context

The Yongying Fund emerges within a broader trend of institutional integration and evolving retail access in digital assets. As digital assets become embedded in retirement accounts and exchange-traded products, the demand for sophisticated yet secure wealth management solutions grows. Websea's offering aligns with the movement to position digital assets not merely as speculative instruments but as foundational tools for wealth creation, bridging traditional and decentralized finance through mechanisms like principal protection and integrated ecosystems.