Do you know smart contracts are actually lazy. Smart contracts have the capability to store data and perform actions.
24 Aug 2023, 11:08
Do you know smart contracts are actually lazy?
Smart contracts have the capability to store data and perform actions. However, they won’t initiate these actions independently. For them to execute their predefined operations, an external entity needs to send a transaction their way.
Automation is widespread in modern finance. However, in the world of DeFi, automation isn't as common except for some specific special-purpose bots used for tasks liquidation or arbitrage.
The reason for this lack of automation lies in the Ethereum Virtual Machine (EVM) itself: programs only run for a few milliseconds at a time; persistent loops or “cron” jobs that constantly repeat themselves, typical in traditional operating systems, limit a miner from ever completing the state transition and thus mining a block.
Gelato is here to offer a decentralized solution! Gelato Automate enables developers to automate smart contracts securely and reliably using time-based and custom-logic triggers.
Let's explore the potential of Gelato...
1⃣ Automated Yield Rewards
Yield farming lets users earn rewards by depositing cryptocurrency into pools. By integrating Gelato Automate, DeFi platforms can make this process more efficient, handling tasks like timely yield collection, accurate reward distribution, and auto-compounding to maximize returns.
2⃣ Automated Loan Health Monitoring in Lending
Gelato Automate streamlines lending protocols by overseeing user loan health. It ensures solvency by automatically triggering the liquidation function when loans are undercollateralized.
3⃣ Dynamic NFTs
Gelato Automate allows NFTs to dynamically update their metadata based on specific on-chain or off-chain data, for updating NFT metadata based on off-chain data you can use Gelato's Web3 Functions, offering collectors a unique and ever-changing digital asset experience.
4⃣ Blockchain Gaming
Gelato Automate facilitates timely game events, ensuring rounds start or conclude without manual intervention, offering seamless gameplay and efficiency for both developers and players.
5⃣ Automated ENS Renewals
Ethereum's @ensdomains has revolutionized address readability with user-friendly .eth formats. However, these addresses require consistent renewals.
To simplify this, @wary__wary 's built Self-Repaying ENS (SRENS) service using @AlchemixFi & Gelato, automating the renewal process and ensuring users maintain their unique .eth addresses remain intact without manual oversight!