Description

FLOAN helps Mainnet users who want to migrate their debt positions (collateral + debt) to enjoy cheaper borrowing rates in a faster chain. Nowadays, more users are wanting to avoid operating in Mainnet due to the high gas fees, so we enable the user to bypass the cumbersome process by offering a 1-click beam of their debt position to the desired chain.

FLOAN - Cross-chain Debt Teleporter showcase

How it's made

Intention: user wants to move position from chain A protocol X, to chain B protocol Y Architecture: - One Teleporter contract on each chain. It holds liquidity to pay users debt. - Connext is used to bridge the assets (as a signed xcall) - For demo purpose, we are only using 2 chains and one protocol on each chain (Aave on Rinkeby and Compound on Kovan) Pipeline: - Teleporter pays back user loan - Teleporter withdraws user collateral - User collateral is bridged to the new chain - Collateral is deposited on the new platform - With the collateral, we borrow - Use the borrowed assets to provide liquidity back to the pool