How Aspis Protocol Works

Aspis Protocol functions as a factory of smart contracts that allows to deployment of on-chain asset management Vaults (like onchain Safeboxes). These Vaults manage funds, maintain liquidity provider (LP) registries, and define rules in a way that manager can keep anonymous while investors can still trust funds to the smart contract, that makes sure that manager will not break the rules or take investorsโ€™ funds. Hereโ€™s a step-by-step breakdown of its functioning:

How does it work?

1. Permissionless Vaults Deployment:

  • Asset managers or strategy creators can create decentralized funds on Aspis Protocol, specifying their strategies and parameters. The creation process is streamlined through a user-friendly interface that simplifies the setup.

2. Transparent Vaults marketplace for investors with reliable onchain data:

  • Investors browse through available Vaults, review their term sheets, and deposit funds into these Vaults. In return, they receive LP tokens representing their share of the Vaultโ€™s capital. These tokens grant them voting power and the right to participate in decision-making processes.

3. AI Execution for automatic Vaults:

  • Managers execute trades via delegated calls to the smart contract. This process utilizes AI-driven or algorithmic strategies to optimize trading activities, ensuring that all actions comply with predefined rules and parameters. Thanks to Aspis architecture, managerโ€™s wallet can delegate execution to the AI assistant without risk of pkey from smart-contract with funds being compromised.

4. Contract that is impossible to breach:

  • Voting on contractual changes and financial decisions is conducted on-chain, with results implemented automatically and irreversibly by the smart contract. This ensures that decisions are transparent and immutable, enhancing trust among participants.

5. Automatic decentralized accounting / Shareholder registry:

  • Investors can receive LP tokens on deposit or burn them upon withdrawal according to the smart contract's rules. This process is automated and secure, streamlining simple calculations without need of the third party to ensure fair rules and capital distribution among participants

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