Preface: The AAVE ecosystem has gradually grown to a very large scale, in this scale, AAVE should go to invest in more projects to expand the AAVE ecosystem, it is also very happy to see many new protocols coming to the AAVE community for help, but for these help, the AAVE community has not established a good channel to communicate this help, which can potentially make AAVE in the rapidly iterating world of blockchain.
Purpose: To create a sound investment channel for AAVE.
Create an investment group that will hopefully target all projects that can give AAVE ecological help with sufficient evaluation.
For example, this project: Aave X OnePiece - [Automated System Operations]
I noticed that they mentioned in the article that they can help AAVE users to improve their capital efficiency and prevent positions from being liquidated. This type of tool is very friendly to the AAVE ecology and I think AAVE should give more opportunities to such projects to expand the AAVE ecological footprint and at the same time improve the competitiveness of AAVE.
For AAVE’s users,
- Provide a 2 - level protection against liquidation: a. Keep user’s collateral ratio to preset target through auto rebalancing across his lending position & farming/staking positions.
b. In case of rapid collateral ratio rise, part of the collateral is sold via Flashloan to return to the target collateral ratio to avoid liquidation.
- Increase users’ capital efficiency (up to 50%): When the collateral ratio drops below preset standard, it will return to the target collateral ratio by auto borrowing extra to increase user’s predefined farming/staking positions
- Save much of user ’ s manual execution for tasks involving interoperations between AAVE & other protocols through automation & auto data monitoring.