Lendvest: Fixed-Term Loans and Automations on Ajna
Request
- Receiving Address: 0xEc140F4ae6504b535DdE6B1AB25366A764a35d5f
- AJNA Amount: 2,000,000 (over two grant cycles)
Applicant and Team Information
Applicant Name:
- Lendvest
- Email: josh@lendvest.io
About You and/or the Team:
Lendvest is led by Joshua Gottlieb and Daniel Chrostowski.
-
Joshua Gottlieb:
Josh was integral to the development of one of the first tokenized stocks for a public company, a project recognized by MIT Technology Review that laid the groundwork for compliant tokenization settings. At State Street Bank, he expanded his work to include ETF tokenization and blockchain-based settlement. Additionally, Josh serves as an advisor and architect for NYC Node, which provides a compliant, direct connection to blockchains, serving as a public good for NYC. -
Daniel Chrostowski:
Daniel is the Co-Founder and Co-CTO of Lendvest. He was a Software Engineer at NYC Node, a project supported by NYCEDC and the NYC Mayor’s Office, where he developed on-chain data analysis tools. At Lendvest, Daniel has accelerated the development cycle by 10x through the creation of deterministic simulations of mainnet’s non-deterministic block times for financial interest calculations. He also leads integration of lending protocols, such as Aave, by mapping fee structures, interest mechanisms, and accounting methods into Lendvest’s protocol.
Additional Links:
- [Pending]
Project Information
1. What is it?
Lendvest is a fixed-term lending protocol built on top of Ajna, designed to offer competitive rates for both lenders and borrowers. It introduces next-gen lending capabilities to assets like stLINK, OETH, and wstETH, enabling borrowers to utilize their staked assets for fixed-term loans while lenders earn predictable returns.
To minimize liquidations, Lendvest introduces a third-party “collateral lender” who helps borrowers protect their staked assets throughout the term in exchange for a portion of the yield.
2. What problem is being solved, and how?
Problem: Manual Price Bucket Updates
- Solution:
Lendvest automates deposits and collateral using Chainlink Automations and Price Feeds, reducing manual intervention. Automation triggers updates only during events like price drops or liquidations.
Progress: 50% Complete
Problem: Insufficient Lending Liquidity
- Solution:
- Fixed-Term Loans: Provide predictable timelines for liquidity availability.
- Predictable Yields: Encourage lenders to supply liquidity.
- Efficient Liquidity Matching: “Set terms” approach matches liquidity 1:1, ensuring efficiency and availability.
Progress: 100% Complete
Problem: Less Competitive Rates Compared to Major Protocols
- Solution:
- Optimized Rates: Match lenders and borrowers based on demand, achieving high utilization.
- Scalable Rates: Use Space and Time & Chainlink Functions to maintain stable rates as TVL grows.
- Sustainable Incentives: Reduce reliance on short-term rewards, fostering organic growth.
Progress: 50% Complete
Problem: Risk of Liquidations in Fixed-Term Loans
- Solution:
- Collateral Lender Incentives: Stability for borrowers while earning yield.
- Automated Risk Management: Use Chainlink Automations to trigger auctions for undercollateralized positions.
Progress: 20% Complete
3. How Will This Project Drive Growth or Success for Ajna?
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Attracting New Assets and Increasing TVL:
Fixed-term loans as a novel financial product will attract new assets and communities, driving TVL growth. -
Enhanced User Experience:
Automations make Ajna more user-friendly with “set it and forget it” capabilities. -
Better Yields:
1:1 liquidity matching ensures higher utilization and better yields compared to competitors. -
Points Program:
Lendvest’s points program and incentives enhance user participation. -
Unique Vertical for Ajna:
Introducing fixed-term loans creates a unique product that appeals to broader user bases.
4. Objectives
-
Core Functions Automation:
Automate deposit/withdrawal for price buckets and pool rate management. -
User Interface for Fixed-Term Loans:
A dedicated UI for fixed-term loans is in development. -
New Pools Creation:
Pools for stLINK/LINK on Arbitrum and Ethereum have been launched.
Grant Objectives:
-
Advanced Collateral Management:
Real-time tracking using Chainlink Price Feeds and Automations. -
Fixed-Term Loan Automation:
Automate loan processes, liquidations, and term completions. -
Enhanced Security:
Extensive testing and audits to strengthen the protocol.
5. Deliverables
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Origin Protocol Use Case:
Fixed-term vault with OETH collateral and profitable borrower strategies. -
Launch Fixed-Term Loan Products:
Integration with Chainlink Automation for collateral management. -
Efficient Collateral Tracking and Liquidation Prediction:
Real-time monitoring using Space and Time’s technology.
6. Timeline for Deliverables
- 30 Days: Deliver OETH product.
- 60 Days: Launch fixed-term loan product for stLINK.
- 90 Days: Deploy collateral tracking and liquidation management automations.
7. Support Requirements
- Feedback from the Ajna community.
- Collaboration with technical teams and access to Chainlink integrations.
8. Progress Reports
- Frequency: Every 3 weeks during the 90-day project duration.
9. Estimated Project Costs
- Total Budget: $10,000
- Security: $4,000 (120 hours)
- UI: $1,000 (60 hours)
- Development: $5,000 (143 hours)
10. Post-Grant Maintenance
- Community Engagement: Marketing initiatives and integration support.
- Security Assurance: Ongoing audits and stress testing.
- Continuous Development: Introduce new features and list additional assets.
11. Handling Delays
- Document delays and share revised action plans to maintain project momentum.
12. Handling Insufficient Funding
- Reapply for funding or seek external sources.
- Adjust scope to focus on critical components.
13. Handling Budget Surplus
- Use remaining funds for future proposals or return AJNA tokens to the protocol.