Adrenaline Finance
Defi platform providing real-world assets exposure without letting go of crypto; with an LP pool between assets in the same class, allowing yield without having to trust one oracle/custodian.
Project Description
Adrenaline will have a direct ETH/stETH/etc to oracle-pegged asset contract, wherein the minting contract itself takes both overcollateralisation (say, 150%) and oracle feed behaviours at once. This removes much of the user complexity compared with alternatives, and allows a wider userbase to access our oracle-pegged assets. On oracle concentration, we believe that there is great space for other oracles, in addition from the dominant Chainlink implementations. Ultimately, the removal of custodian risk from asset-backed tokens creates another issue: oracle risk. Ultimately, if the underlying oracle data feed is disrupted, whether from deliberate interference or bugs, the price mechanics in mint could be compromised. Hence, our vision aims to take advantage of UMA price feeds in addition to those of Chainlink. Slippage should not be a large concern in the minting of our tokens, for our creation deals directly with an oracle. Further, our LP should inject liquidity into our own synths, as well as gain access to present liquidity on other tokens. Investors will also benefit from easily spreading oracle-custodian risk, within our equally-weighted custodian and oracle-pegged of the same asset e.g. gold, TSLA, etc.
How it's Made
We were not able to create code for this project thus far - but our experience has been invaluable, and we have made friends, contacts, and learned many new skills as a result of this eventful weekend.
Our planned POC consisted of:
adrXAU We planned to fork Twindex’s direct ETH -> tAssets contracts on BSC, which allow for the creation of overcollateralised assets, as a base for our own ETH -> DOPAssets on Kovan testnet. Twindex uses Chainlink. Fortunately, UMA has native XAU price feeds, which we can implement into our contract instead. There will be significant work to be done UI-wise, for Twindex UI is not OSS.
XAU-LP We planned to fork Saddle Finance’s UI, swap and pool contracts, currently enabling the exchange between multiple ETH, BTC and USD assets. We wish to change these over to XAU assets within our hackathon, and deploy these on Kovan.
