ICHI partners with Chainlink
ICHI partners with Chainlink Automation to Power Deep-Liquidity Vaults. ICHI is leveraging Chainlink Automation to securely and cost-efficiently trigger ICHI Vault concentrated liquidity rebalances. As a result, Vault depositors can benefit from efficient liquidity concentration, more Vaults, and increased trading fees.
The Chainlink Automation Network is operated by the same pool of time-tested, provably reliable node operators that help secure tens of billions of dollars in DeFi, even during record levels of network congestion and extreme volatility. The proven infrastructure of Chainlink helps ensure that every rebalances are executed on time in a trust-minimized manner, giving users additional guarantees that it will function strictly as intended.
Currently, decentralized exchanges (DEXs) like Uniswap v3 lack sophisticated and decentralized market-making infrastructure, resulting in inefficiencies compared to centralized exchanges (CEXs). As a result, most trading volume still occurs on CEXs due to their access to institutional market makers. However, this comes with the risks of trusting a custodian, such as the chance of fraudulent behavior.
To further provide liquidity providers the ability to create this deep, on-chain liquidity, ICHI needed a streamlined solution to scale its rebalance function. They are excited to integrate Chainlink Automation into the future of its Vaults.
How Does Chainlink Automation Work?
Chainlink Automation is a decentralized service purpose-built to manage tasks on behalf of smart contracts. Chainlink Automation leverages decentralized, hyper-reliable, and economically incentivized automation nodes to wake up smart contracts when they need to perform critical on-chain functions, which usually take place at regular time intervals (e.g., every day at the same time) or based on external events (e.g., when an asset hits a specific price).
Some of the notable features of Chainlink Automation include:
- Highly reliable, performant, and decentralized automation
- Time-tested infrastructure that helps save costs
- Built to enable faster scaling
- Unlocks new use cases
ABOUT ICHI
ICHI is a trustless market-making protocol that enables the use of sophisticated algorithmic strategies on Uniswap V3. Grow any token with low slippage, and on-chain liquidity using ICHI’s Vaults.
