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Flash loans and liquidity protocol on the Soroban VM.
Brought to the Soroban ecosystem by xyclooLabs.
XycLoans is a flash loans protocol implemented for the Soroban Virtual Machine. The protocol, besides offering an efficient and cheap way of borrowing flash loans, also offers investors to safely provide liquidity and earn yield.
To get started trying out xycLoans, check out the examples.
Below are some reasons why you might want to choose xycLoans, both as a trader/developer and as an investor.
Our team has been working with soroban since its first early release, and we've optimized the contracts and logics for Soroban release adapting to Soroban's principles and strength.
XycLoans is designed with the sole purpose of being a flash loans protocol. That is because it is built with lenders funds' security in mind, and wants to offer lenders the possibility to put liquidity in a simple and audited (we're working on this) protocol.
The fact that xycLoans doesn't depend on price oracles, doesn't have complex rewards schemas, doesn't implement a governance system (while still keeping the product decentralized), and is developed by trusted members among the Soroban community makes it a good option for more cautious investors that seek to provide liquidity in DeFi systems that are less prone to security risk.
xycLoans has no community token treasurery and no protocol fees (which in some DeFi projects go to developers and initial investors), which means that when you use xycLoans both as a borrower you are only paying the fees to lenders, and that lenders are receiving every single cent of the fees borrowers pay. This effictively makes for a protocol that has 0 fees.
If xyclooLabs does not take any fees from xycLoans, how do we maintain the product?
We have two main sources to keep the protocol running:
- Pro subscription to analytics and additional features in the UI.
- Sponsored protocol updates. The factory contract is controlled by us in that when a new version of xycLoans pools is developed, that will be the new reference pool for our users. However, there is no way us updating the factory contract's hashes has impact on the pools' state, thus on the lenders' liquidity. We will just offer the possibility to migrate to new versions of the contract. All the work we do for protocol updates and migration interfaces is sponsored by donations.