Summary
Starlay: Astar Native Lending Protocol
Lending Market
The lending share within the top 10 DeFi projects on major 7 public chains is analyzed on the spreadsheet below.
The Average: 30.60%
The Median: 25.83%
We aim to make Starlay Finance have 25% dominance on Astar at the end of 2022.
KGIs
30 Apr (2 months later from the release)
Starlay TVL: 100M
ArthSwap TVL: 200M
Astar TVL: 600M
(Starlay TVL):(ArthSwapTVL):(Astar TVL) = 1 : 2 : 6
End of 2022
Target TVL dominance: 25% (Median of the 7 representative chains)
Starlay TVL: 0.75B
ArthSwap TVL: 1B
Astar TVL: 3B
(Starlay TVL) : (ArthSwapTVL) : (Astar TVL) = 3 : 4 : 12
Schedule in 2022
14 Feb: Submit set of contracts to audit
22 Feb: Deploy to Astar mainnet
23 Feb: Publish the webfront
28 Feb: Financing $1M by using SAFT
1-3 Apr: IDO on ArthSwap
20 Apr: Distribute $LAY based on contributions
30 Apr: Release the feature of staking $LAY
30 May: Minor improvements raised from the community
Product Features
Smart Contract (forked from AAVE V2)
- Depositing / Borrowing
- 25 Feb: $ASTR / $WETH / $WBTC / $USDC / $USDT / $WSDN
- 30 Apr: $ARSW / $LAY
- Flashloan for developers
- Not displayed on UI
- Fetching price data from Chainlink (that will be supposed to be released)
- $LAY staking
Backend (from scratch)
- Building a cashing server to calculate rates for UI
- based on GKE (GCP)
Frontend (from scratch)
- Only the variable borrow rate on UI
- Stable Borrow will not be supported
- Deposit Swap will not be supported on UI
- MetaMask support only
- Desktop support only
UI / UX
- Compound based UI
- Astar-ish color and design
Tokenomics
Ticker: $LAY
Decimal: 18
Total Supply: 1,000,000,000
Distribution
Emission
Except for IDO, the tokens will be rewarded gradually.
Liquidity Mining
Deposit Incentive: 30% of Liquidity Minging Emission
Withdraw Incentive: 70% of Liquidity Minging Emission
Incentive Weight
Stablecoins and the native token should be incentivized larger than others.
- $ASTR: 3x
- $USDT: 3x
- $USDC: 3x
- $WETH: 2x
- $WBTC: 2x
- $SDN: 1x
- $ARSW: 1x
APR
Since it is useless to calculate APR on analysis, we should calculate the emission amounts for each token on both the depositor side and the borrower side. The details are described on the sheet.
Protocol Revenue
Borrow Interest
Calculated with the same way as AAVE does
(Borrow Interest) - {Deposit APR without $LAY incentives)} ≒ 1%
Liquidation
Example:
Bob deposits 10 ASTR and borrows 5 ASTR worth of USDC.
If Bob’s Health Factor drops below 1 his loan will be eligible for liquidation.
A liquidator can repay up to 50% of a single borrowed amount = 2.5 ASTR worth of USDC.
In return, the liquidator can claim single collateral which is ASTR (5% bonus).
The liquidator claims 2.5 + 0.125 ASTR for repaying 2.5 ASTR worth of USDC.
Depositing & Earning
Basically, the earning system would be inherited from AAVE.
vToken, which is an original IOU, holders receive continuous earnings that evolve with market conditions based on:
- The interest rate payment on loans - depositors share the interests paid by borrowers corresponding to the average borrow rate times the utilization rate. The higher the utilization of a reserve the higher the yield for depositors.
- Flash Loan fees - depositors receive a share of the Flash Loan fees corresponding to 0.09% of the Flash Loan volume.