ASX Labs

Posted on May 26, 2022Read on

Introducing — ASX Protocol

Yield Strategies. Unified.

Given the fast-paced nature of DeFi, where new opportunities and choices arise every second, the main goal of many investors and participants is to focus their capital on assets that provide either utility or additional revenue streams.

To that end, staked assets play a very important role in enabling these additional use cases. However, in today's market, yield strategies are segmented between many players on several chains. Searching for the right chain and the right protocol to park your assets is time-consuming and costly.

Currently, if a user has interest-bearing assets on Chain A but finds a better opportunity on Chain B, he has to withdraw the assets from Protocol A (fee), send them to Chain B via a bridge (fee), and deposit them in Protocol B (fee). If he then finds a more interesting opportunity on Chain C, this whole process has to be repeated.

For tech-savvy large users (whales), this may not seem like a big deal, but for the average user, those fees alone can eat all their profits.

One of the base pillars of DeFi is time and money optimization and, as avid developers and users of it, we were always looking for a one-stop solution protocol, one that would take care of all the hard lifting and fees... one that was designed for everyone.

Since we couldn't find it, we decided to build our own.

Enter ASX

ASX Protocol functions as a top layer DeFi network for staked assets, combining ASX's strategies with the most profitable ones available in the market.

Assets deposited into an ASX Vault enter an automatic process of yield maximization through capital shifting, auto-compounding, rebalancing, and routing across multiple protocols and chains, making ASX a more capital-efficient alternative.

How does it work?

ASX smart contracts operate on three main spectrums:

  • ASX's own strategies
  • Third-party protocols' strategies
  • Combined strategies on each chain

For routing the staked assets across protocols of the same chain, ASX Vaults monitor the available protocols' performance using on-chain data and use that information to calculate the routing's viability and the best capital allocation.

The protocol then uses relayers, working in tandem with an oracle, to receive information between the available chains and sends the relevant data to each Vault. The Vault then determines the best asset allocation for each chain and protocol and executes.

A lot is going on under the hood. We'll share more details on the mechanics once our smart contracts are open-sourced.

Chains and Protocols

Our operations on yield routing are broken down into 3 phases:

For the first iterations of ASX (1st phase), the following chains and protocols will be available:

  • Ethereum → ASX, Convex, Yearn
  • Fantom → ASX, Yearn, Tarot

During the 2nd phase, we'll expand the network into two more EVM compatible blockchains: Avalanche and Polygon.

On the 3rd phase will break the EVM boundaries and expand ASX into Terra and Solana, using the LayerZero network, making ASX truly omnichain.

While ASX smart contracts are getting ready for public release, the interface will allow direct access to the third-party protocols' vaults.

The ASX Token

ASX has been conceived, built, and driven by a founding group of individuals with expertise in creating web3 solutions and a core belief in decentralization and privacy.

ASX is the result of many months of development and it's our legacy to the crypto community. Because of that, we decided to do things a little differently.

We'll explain all the details about our token launch in our next post.

What’s next?

The core vision for ASX is to be the ultimate permissionless omnichain liquidity hub for staked assets, expanding beyond the borders of EVM and Non-EVM.

Our smart contracts are currently in private beta and have consistently shown better performance than the third-party protocols' strategies. We're finishing up the final touches and getting them ready to be open-sourced and peer-reviewed before the public release, within the coming weeks.

The omnichain yield future is inevitable. Stay tuned.

ASX is an emergent and constantly evolving experiment in decentralized finance. It’s not a company, it doesn’t have investors and it doesn’t cater to speculators.

Legal Disclaimers

This announcement has been written and published by ASX Labs. ASX Labs provides no guarantee, commitment, or undertaking to utilize any of its assets, funds, properties, or personnel. ASX Labs does not owe and does not intend to assume, any duties or obligations to ASX holders, ASX Protocol users, or other ASX Protocol participants, other than duties or obligations arising under laws of general application, such as non-waivable torts.

To the maximum extent permitted by applicable law, all software relating to ASX Protocol is being provided on an as-is, where-is basis, with no representations or warranties being made to ASX holders or ASX Protocol participants and with no liability to ASX Labs or any other person involved in the development of ASX Protocol.

The statements outlined in this announcement also are not intended to be representations, warranties, guarantees, or assumptions of duty or liability of any kind, and ASX Labs hereby disclaims the foregoing and will not be liable for any damages arising from the use of the ASX Protocol or the participation in the ASX Genesis Event. In the event of any conflict or inconsistency between this announcement or any other communication and the terms of any software license involved in the ASX Protocol, the terms of the software license shall govern to the exclusion of this announcement and such other communications.

The forward-looking statements in this announcement are subject to numerous assumptions, risks, and uncertainties that are subject to change over time. Such assumptions, risks, and uncertainties could cause actual results or developments to differ materially from the results and developments anticipated by us. Even if our anticipated results and developments are realized, such results and developments may nevertheless fail to achieve any or all of the expected benefits anticipated by this announcement. We reserve the right to change the plans, expectations and intentions stated and implied herein at any time and for any reason or no reason, in our sole and absolute discretion, and we undertake no obligation to update publicly or revise any forward-looking statement, whether as a result of new information, future developments or otherwise.

This announcement is for informational purposes only and does not constitute legal, financial, investment, or other advice and we recommend that you do not rely on, and do not make any financial, or any other decision based on this announcement.