Velvet

DeFi asset management platform . Future of finance tool for asset managers.

Comment

Inspiration

  • We believe DeFi is the future that empowers people to become financially independent. #Future_of_finance

  • But DeFi is hard!

  • Users are intimidated by countless options, confused by the complexity of protocols and struggling to navigate solutions built for crypto-natives.

  • As a result, people chase the highest yield and get burnt when the token price tanks to zero.

What it does

  • Velvet.Capital makes DeFi simpler and safer by helping you diversify across assets, ecosystems and yield farming solutions.

  • It's a cross-chain DeFi Asset Management protocol that helps people & institutions create index funds and other structured financial products as well as manage their portfolios on-chain.

How we built it

  • We have a completely modular architecture built out on Aurora as a base infrastructure:
  • Covalent as API provider to fetch the price of each token and make trade possible

  • Oracle module is fetching market data from our TWAP and is passing it to the Trading module, which is using liquidity provider (DEX) to create a target portfolio in a single transaction. Whenever there is price change more then 50bps, oracle data feed updates and our contract captures a new price feed.

  • A portfolio-backed token representing user's share gets minted upon deposit and burnt upon withdrawal whereas underlying assets are kept on contract

  • The factory contract is flexible and allows to deploy any new portfolios/strategies within a few minutes, we deployed 2 strategies as an example: Top-5 DeFi projects overall and Top-5 Projects that have highest TVL on Near.

  • The fee module allows portfolio managers to set fees that would be charged at rebalancing.

Challenges we ran into

  • Making the custom smart contract where managers can launch different portfolios with different constituents and allocations.

  • Due to Eth-merge, the rainbow bridge was paused, else we would have deployed on mainnet.

Accomplishments that we're proud of

Covalent integration can be found at https://github.com/Velvet-Capital/nearcon-aurora/blob/main/src/lib/covalent/fetchers.js

What we learned

  • Aurora stack, how easy is to spin out dapp on it :)

  • Pagoda SDK and played around it

  • Some Rust coding

  • Improved debugging skills

What's next for Velvet

  • We are adding yield farming integrations so that users will get additional yield on the assets in their portfolio (from lending, staking and liquidity provision)

  • We are adding a strategy module that will allow to create automated portfolios that are rebalanced according to pre-set parameters (regular timeframe, thresholds and triggers)

  • We will work on an SDK to provide DeFI-as-a-Service for institutional clients (e.g., Asset Managers) which will use our protocol to create new products for their clients

  • We will be conducting a security audit and officially launching on Aurora shortly after the hackathon

Product: https://velvet-capital.github.io/nearcon-aurora/ Video: https://www.youtube.com/watch?v=DvdP-qIjGvs

Built With

Share this project:

Updates