Learn how to allocate your assets across Compound, Fulcrum, TokenSets and others in one transaction.
|Oct 28||Public post|
Since publishing educational guides about popular DeFi tools and observing early-users’ simulations using DeFi Strategies, we were inspired to build DeFiZap - the easiest way for anyone (no matter how much they know about using each DeFi tool) to get instant access to multiple DeFi protocols.
What is DeFiZap?
Zap is a smart contract that auto-spreads incoming deposits across Compound, Fulcrum, TokenSets and others, based on pre-set allocations and in a single transaction - bypassing many manual steps. You can send your deposit to a Zap of your choosing and receive allocated tokens.
For example, Lender Zap allocates incoming deposits 90% to cDai and 10% to dLETH2x. Therefore, if you send 1 ETH to this Zap, you will receive 0.9 ETH's worth of cDai and place a 2X margin trade with 0.1 ETH on Fulcrum (giving you exposure to 0.2 ETH). Lender's Zap is interesting because, within a year, the interest generated from cDai could completely cover your margin trade purchase. Think of it as trading with your future interest earned.
Accessing DeFi protocols through Zaps, costs less gas than individually transacting on each one to attain the same result. For example, going from ETH to cDAI+dLETH2x will cost you around $5-$6 while attaining the same assets through Lender Zap will cost you around $0.86-1.75.
We have also created a 'Zap Generator' to help end-users filter available Zaps based on their investment goals and risk profile. Users answer a few multiple-choice questions to see which Zap might fit their needs. Most combinations are still being finalized so please do not take this as investment advice and please share your feedback if something looks off.
During Kyber’s virtual hackathon, you can view almost all available Zaps generated, but only Lender Zap is live on the mainnet. We’ve registered Lender.DefiZap.eth on The Ethereum Name Service so that investing in Compound + Fulcrum is as easy as sending a deposit from your wallet.
Ultimately, we intend to allow our users to be able to create their own Zaps, based on their custom requirements. In the meantime, you can submit a request by creating a new issue on our Github.
Walk-through tutorial video:
Right now, DeFi is just a buzzword. We even noticed someone taking advantage of the DeFi community's current traction. They set up "DeFi" tokens to make gains through the unawareness of other people who believe 'DeFi' is an asset they can invest in through these tokens. People see ETH locked in DeFi going up and think, “How can I get exposure to that growth?!” We are putting education at the core of our approach to make sure this doesn't happen to anyone.
Can I change my assets and allocations?
Ultimately, we intend to allow our users to be able to create their own Zaps, based on their custom requirements. In the meantime, you can submit a request by [creating a new issue on our Github.](https://github.com/DeFiStrategies/ZapRequests/issues/new)
Where can I view my purchased assets?
Once your transaction is confirmed, your purchased assets (based on chosen Zap’s allocations) will show up in your wallet as ERC20 tokens. We are working on our own dashboard UI but for now you can visit websites of your purchased assets:
How much does this cost?
DeFi Zap does not charge any fees for investing through Zaps and all smart contract code is open sourced. Furthermore, accessing DeFi protocols through Zaps costs less than individually transacting on each one to accomplish the same result. For example, going from ETH to cDai on Compound and ETH to LONG2xBZX on Fulcrum will end up costing you ~$5-$6 in transaction fees. Lender's Zap helps you accomplish ETH to cDai + LONG2xBZX in one transaction, for ~$0.86-$1.76.
What’s next for DeFi Zap?
-Launch a simple DeFi Zap Dashboard UI.
-We are starting with ETH only deposits but will soon integrate Wyre to enable deploying capital into DeFi straight from your bank account.
-Automatic Investment Plans - connect your bank accounts and set up recurring deposits to chosen Zap(s).
-‘Anti-Zaps’ which essentially sell your allocated investments to an asset of your choice.
-Unique tokens for each Zap which end users receive to track their overall balances and overall ROI.
Once again, keep in mind this project is in beta - please share your feedback on our Telegram.