Share this text
Dolomite, a DeFi lending protocol, has just lately shared particulars of its newest development, Zap. This new collateral resolution, tailor-made for the Arbitrum community, works to refine capital deployment methods and consumer expertise inside the DeFi house:
We’re thrilled to announce the launch of our lengthy awaited ⚡️Zap characteristic! 🎉
⚡️Zap will change how you utilize lending protocols, permitting you to borrow, commerce, and collateralize all in a single transaction, and paves the best way for far more!
Let’s dive in 👇https://t.co/3wrEOU1m70
— Dolomite 🏔️ (@Dolomite_io) August 8, 2023
In conventional DeFi lending landscapes, customers aiming to maximise their yield by a way often known as “looping” typically discovered themselves navigating a maze of transactions. The core rationale behind this iterative process has been a structured borrowing restrict.
This restrict is designed to make sure that customers keep an overcollateralized place, preserving the steadiness and safety of the lending platform. Nonetheless, this type of configuration, whereas safeguarding pursuits, additionally launched complexities for seasoned customers.
Enter Zap.
With this innovation, Dolomite goals to scale back operational friction and provide a seamless method. Now, duties that beforehand necessitated a number of transactions could be condensed right into a single motion. This streamlining is predicted to boost effectivity, scale back transaction occasions, and probably result in price financial savings:
“Dolomite’s new Zap characteristic permits this to be achieved in a single step, delivering better effectivity by eradicating the necessity to make a number of transactions.”
Among the many many options of Zap, two stand out. Firstly, its functionality to empower customers to settle their obligations utilizing collateral straight, negating the requirement to reverse out of borrow positions. That is anticipated to be a major comfort improve.
Secondly, Dolomite has ensured that customers can diversify their collateral sources. By integrating a DEX aggregator through Paraswap into the method, customers can now introduce collateral from a broader vary of property, even when they don’t seem to be straight held of their portfolios.
This integration seeks to make sure that liquidity constraints on the platform don’t hinder consumer operations.
Dolomite’s first DEX aggregator integration is with @paraswap which allows
💸 Glorious pricing
🧬 Generic routing
💰 A brand new income supply for Dolomite within the type of optimistic slippageOver time we can be including help for extra aggregators!
— Dolomite 🏔️ (@Dolomite_io) August 8, 2023
Designed to be executed inside a single block, this instrument is constructed to guarantee that consumer positions stay securely collateralized, balancing innovation with prudence.
