Flurry Finance Will Integrate Chainlink Keepers to Automate the Daily Rebasing of rhoTokens
Flurry Finance is excited to announce that we will be integrating Chainlink Keepers on Ethereum to automate daily rebases of rhoTokens in a decentralized and highly reliable manner. Chainlink Keepers use secure, low-cost off-chain computation to determine when conditions are met for rebases and then trigger them on-chain in a timely manner when satisfied.
We decided to use Chainlink Keepers to trigger our rebasing function because it’s a decentralized network operated by the same professional DevOps teams that secure tens of billions of dollars through Chainlink Price Feeds. This provides our users with strong uptime guarantees that yield will be distributed on-time at daily intervals.
Understanding Flurry Finance
Flurry Finance is a novel yield aggregation platform that abstracts away the complexities of yield farming. Users can deposit their USDT, USDC, or BUSD into Flurry Finance to mint corresponding synthetic versions of these tokens known as rhoTokens. For instance, a user can deposit 100 USDC to mint 100 rhoUSDC — each rhoToken is backed 1:1 with its corresponding stablecoin. Flurry Finance then combines users’ assets into pools and automatically deposits and manages them between decentralized protocols to earn users the highest yield.
By using Flurry Finance instead of yield farming individually, users enjoy the following benefits:
- Decreased Transaction Costs — The average gas cost per user is significantly lower since users’ tokens are batched together in a single transaction.
- Risk Diversification — Flurry Finance deposits into multiple decentralized protocols to spread around risk, a strategy not cost-effective for individual users.
- Easy UI — Flurry Finance provides a simple UI to give users a clear picture of their investments, simplifying the process of tracking positions and interest across multiple protocols.
One of the major differences that sets Flurry Finance apart from other yield aggregators is that rhoTokens are fungible and not subject to any locking period. In some yield aggregation protocols, the deposit tokens users receive are constantly changing value as they accrue interest, meaning they must be locked and cannot be used as a medium of exchange. However, in Flurry Finance, 1 USDC always equals 1 rhoUSDC. So instead of requiring users to lock up their funds, Flurry Finance rebases rhoTokens to increase the supply as yield is generated. For example, suppose a user deposits 1000 USDC to receive 1000 rhoUSDC, and the original USDC is earning 12% APY. After a month, the user will have an adjusted amount of 1010 rhoUSDC in their wallet.
Rebases occur daily, meaning users can access their yield rewards each day. The rebasing mechanism in our smart contract needs to be called via a daily on-chain transaction in order to execute. Instead of triggering this function manually, we have elected to outsource this operation to Chainlink Keepers in order to fully decentralize and automate the process and give users higher reliability guarantees.
Once the rebasing mechanism is triggered, rhoTokens are minted and distributed as earned yield to users assuming they didn’t redeem their original tokens. If users redeem their rhoTokens, the total supply of rhoTokens will be reduced accordingly through a secure burning mechanism. That said, whether or not the total supply increases or decreases is rather irrelevant to users — the earned yield would still be added to the remaining rhoTokens supply, ensuring they are always backed 1:1 by the original stablecoin deposits.
Some of the unique benefits of outsourcing this task to Chainlink Keepers compared to other solutions include:
- High Uptime — Chainlink Keepers are run by the same professional DevOps teams that have an established on-chain performance history of providing high reliability to Chainlink Price Feeds during extreme network congestion and market volatility.
- Low Costs — Chainlink Keepers have several gas-optimizing features that lower the costs of automating maintenance tasks for users, including a rotating node selection process to prevent gas price auction wars and stabilize costs.
- Decentralized Execution — Chainlink leverages a decentralized and transparent pool of Keepers to provide strong guarantees around secure contract automation, saving teams time and mitigating the risks around manual interventions or centralized servers.
- Expandable Computation — Chainlink Keepers perform off-chain computations and generate calldata verifiable by smart contracts, allowing developers to build advanced, trust-minimized dApps at lower costs.
“Simply put, Chainlink Keepers remove the burden of manually rebasing rhoTokens, increasing our ability to focus on more critical development tasks and bringing higher reliability to our protocol,” stated Mike Ting, Co-Founder of Flurry Finance. “By optimizing for low-cost, verifiable computation, Chainlink Keepers allows us to automate operations without sacrificing on security or user experience.”
Chainlink is the industry standard oracle network for powering hybrid smart contracts. Chainlink Decentralized Oracle Networks provide developers with the largest collection of high-quality data sources and secure off-chain computations to expand the capabilities of smart contracts on any blockchain. Managed by a global, decentralized community, Chainlink currently secures billions of dollars in value for smart contracts across decentralized finance (DeFi), insurance, gaming, and other major industries.
Chainlink is trusted by hundreds of organizations, from global enterprises to projects at the forefront of the blockchain economy, to deliver definitive truth via secure, reliable oracle networks. To learn more about Chainlink, visit chain.link and subscribe to the Chainlink newsletter. To understand the full vision of the Chainlink Network, read the Chainlink 2.0 whitepaper. Want to discuss an integration? Talk to an expert.
About Flurry Finance
FLURRY is a DeFi protocol offering yield aggregation with rhoToken, which is pegged 1:1 to its underlying stablecoin. It automatically farms for yields without locking up funds or interest earned by diversifying DeFi product risk, resulting in lower gas fees.
We automate the tedious task of locking/unlocking and switching in and out of DeFi products on different chains to generate yield. Current yield aggregators are limited to Ethereum based products or work on a single chain, whereas FLURRY aims to work cross-chain to look for the best yield after cost on different chains.