Cashmere Labs

Cashmere Script

In the past decade, DeFi has experienced vast development and growth, and in last two years decentralized network procedures for asset swapping such as curve or uniswap become more popular.

These protocols were effectively and thoughtfully created to fill gaps in the market with the help of liquidity pools that anyone can supply assets to earn interest.

These interests are covered by dealers.

Exchanges of assets are carried out by some liquidity pools.

These protocols don't support single-sided liquidity and have high slippage rates.

There are a lot of liquidity providers on those platforms, and because they are required to possess a minimum of two tokens in order to provide liquidity, they are at a higher risk of de-pegs.

Cashmere is an omnichain-based project that adds layers to these technologies and optimizes capital efficiency in addition to decreasing associated risks by letting users be able to swap any single-sided assets between any chain without bridging. While maintaining omnichain swap, which allows for asset exchanges between 7 different chains due to interoperability cross-chain messaging protocol.

Cashmere is a unique application that has both a stableswap and an asset aggregator in one application at the same time.

Stableswap uses Cashmere's own liquidity directly and becomes a Layer2 solution. On the other hand, the aggregator uses all liquidity pools in any network and offers the lowest slippage to the user.

Solution How is that possible?

Well, in Cashmere, assets to be traded on the source chain use the aggregator to find the best offer on the source chain, asset swaps to stablecoin, and stablecoin is locked on the source chain by Cashmere.

With its own liquidity pools and interoperability messaging protocol, Cashmere allows users in the target chain to withdraw equal stablecoin from pools. The user performs the swap and gets its presence on the target chain.

This way makes the swapped asset MEV Resistant because it is performed using only cross-chain messaging without sending a cross-chain swap transaction.

There is certainly a lot more to unfold about cashmere, all of its interesting features and the new and unique opportunities it provides for DeFi.

docs.cashmere.exchange twitter.com/CashmereLabs

Chainlink, Layerzero Labs, Polygon, 1inch

We decided to solve the dilemma of synchronizing the pool debts and the liquidity data in the pools of 7 different networks as follows;

1. Synchronization between the 2 networks will be automatically provided by the user every time by the user's transactions,

2. Additional to user's transactions, we will setup oracles that listen to compensation ratios of 7 different networks.

3. When compensation ratios change by e.g. 1%, _updatepooldata transaction will be run on all 7 networks through oracles, this means that the transaction will be made by Cashmere Multisig automatically via @CHAINLINK.

4. This means that we will pay fee to Chain and to Layerzero Relayers for every update.

5. We will code like this for a beginning, but after our testnet deploy, we would like to discuss how we can use Layerzero Relayers more effectively and efficiently.

6. Our cross-chain aggregator uses 1inch API to find best offer.