Automated Lending Strategies

For lending SOL easily using the Bonds

What is a Strategy on FRAKT?

For Strategy creators

For Strategy depositors

For Strategy creators

Strategies are automated bots that move offers/orders and manage them in an automated manner

Strategies are therefore similar to Hadeswap pools but on steroids because you don’t need to manage them too much as they are automatically controlled (see Step 4 - Strategy parameters)

At the start, the Frakt team will create all of the Strategies available to depositors. After some time we will enable approved users to create their own Strategies and make them available for interested depositors. There will be a % fee on Strategy performance for depositors so that if the Strategy is profitable, the strategist will get rewarded from it (DAOs could become strategists to generate yield for their communities, ...)

As a Strategy creator, you will have to define different sets of parameters:

Step 1 - View parameters

  • Strategy name

  • Strategy PFP

Step 2 - Bonds parameters

  • Included collections

  • LTV

  • Duration

Step 3 - Pricing parameters

  • Starting spot price for Interest%

  • Bonding curve (Linear, Exponential or XYQ)

  • Delta %

  • Bid capacity in SOL (max amount of SOL (size) in order)

Step 4 - Strategy parameters

  • MAx Utilisation rate (%)

  • Max Trade Amount (SOL)

  • Trade Duration (sec) = for how much time my orders stay on

  • Remaining SOL ratio to finish trade (%)

  • Min time between trades (sec)

After all parameters have been entered, an editable strategy recap will be displayed (see example below)

For Strategy depositors

"Strategies" tab will be displayed just below the "Lending" tab

For depositors, the UX is very close to depositing into isolated lending pools (funding Perpetual loans) with the significant distinctions that:

  • yield gets compounded

  • each strategy can fund loans for the selected collections

  • each strategy can fund loans according to different parameters

Step 2 - Bonds parameters Step 3 - Pricing parameters Step 4 - Strategy parameters

In the "Lending" tab, lenders depositing in Medium-risk & High-risk isolated lending pools (in Easy-mode) will actually be depositing into some strategies created by the FRAKT team

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