Page cover image

πŸ’§Liquid Assets

The Problem

The Cardano dApp ecosystem is rapidly growing and it's becoming increasingly more difficult to keep track of all the opportunities to buy, sell, trade or earn yield from your assets. Various decentralized exchanges, marketplaces, lending protocols, etc are forced to compete for market share and liquidity, while dApp users are limited to deploying their assets to one protocol at a time.

Enter Aggregators

Aggregators have emerged as a popular solution to help find the best opportunities across a specific type of protocol (eg. decentralized exchanges).

But this approach still suffers from the same limitations. Even though the aggregator helps find the best opportunities across multiple dApps, this optimization takes place off chain and the actual assets are still only deployed to one dApp at a time.

Aggregator Example

Liquid Assets

The Pond smart account solves this problem in a different way. By creating a secure but expressive layer of abstraction that's stored separately from the associated assets, dApp users are able to manage their transaction intents while their assets remain fully liquid. Due to this separation of concerns, not only can dApps natively support the benefits of aggregators, but dApp users may effectively deploy their assets across any number of different DeFi protocols simultaneously.

Liquid Assets Example

Last updated