Decentralized Finance is the future of value exchange– call it transaction. As a trustless system, it reduces delays, doubts and ensures transparency in our financial activities.
For example, in 2021 user confidence in cryptocurrencies grew by 97%. This is because projects like Gelato build advanced solutions that improve the efficiency of the network.
However, unlike Coinbase, Binance, Gelato Network allows you to automate transactions on decentralized exchanges like Fantom’s Spookyswap, Polygon’s QuickSwap among other functionalities.
If you read this article till the end, you will find how to leverage Gelato’s functionalities on the Ethereum network and across DEXs.
Why DeFi Works
The earliest form of transaction was without money. Humans used to exchange value through trade-by-barter.
We exchanged goods and services for cowries and shekels, silver. Likewise, the inefficiency in Centralised Exchanges allowed for alternatives like Bitcoin and DeFi.
DeFi, Decentralized Finance refers to digital assets and financial smart contracts, protocols, and decentralized applications (dApps), built on Ethereum. network. In simpler terms, it’s financial software built on the blockchain.
The speed of transaction, accuracy, transparency, and trustless nature of DeFi makes it a more efficient system.
According to Coinmarketcap, the crypto market is valued at $1.4 trillion. With over 10, 000 cryptocurrencies in the market and 384 exchanges.
What is Gelato?
Gelato Network is a protocol that automates smart contract executions on the Ethereum network.
The team’s vision is to enable everyone to leverage the power of a decentralized network of bots to fully automate the movement of value between different protocols on Ethereum.
6 Ways Gelato is Changing DeFi
In 2019, Gelato Network developed an open-source decentralized network of relay nodes that developers can plug into to create automated dApps for their users.
Also, DeFi users can use Gelato’s limit order functionalities on various DEXs.
Here are some ways Gelato is changing transactions in DeFi:
1. Create Personal Bots
Gelato finance allows you to create a personal bot that automatically interacts with your favourite applications on Ethereum, without codes.
With Gelato, you can create a machine that executes and automates transactions for you, in accordance with the instructions you provide. Most importantly, Gelato has bots that attend to your needs 24/7.
2. Limit & stop orders on DEX
DeFi traders are usually left to monitor the market to spot a good entry. But, Gelato allows you to automate this process with linit and stop orders.
Also, you can use Gelato to set your order so you don’t miss an opportunity to buy a dip or sell a top on various DEXs.
3. Save more on Gas fee
Gelato users pay the exact fast gas price at the point of smart contract maturity to access the fairest and most up-to-date price.
It allows users will be able to specify the gas price conditions under which their automated transactions will execute.
With this, developers can program the smart contract to auto-execute trades for any gas price and/or halt the automation of trades if gas prices rise above a certain threshold.
4. Time-based market orders
Gelato executes your order based on the condition you provide. It helps control your transactions.
Instead of selling or buying large amounts of value at once, you can use Gelato to split your order over several days. And automatically sell/buy smaller chunks each time to make more profits, recover loss or maintain market volume.
5. Automatic account top-ups.
Gelato automatically tops up your wallet with your monthly allowance. You can top up your wallet when your balance gets close to zero.
Developers can as well top up their Gas fees as they work. This makes sure they don’t run out of gas. They use the exact Gas fee needed for the task at hand.
6. Manage liquidation
Gelato enables several operations ranging from limit orders to dollar-cost averaging to refinancing one’s debt position to avoid liquidation.
Through a partnership, Gelato protected Aave users from costly liquidation which buys users more time to adjust their position, should the price dump to their liquidation threshold.
Gelato for Developers
Gelato allows developers to automate smart contract execution on Ethereum.
dApps developers can automate the execution of their users’ transactions, without having to run any of the underlying server infrastructure themselves.
Through incentives, Gelato runs an open and decentralized network of relayers to automate your smart contract executions and make them censorship-resistant.
Wrap It Up
Above all, unlike some DAO you see out there, Gelato allows Automated smart contract executions on Ethereum with advanced and secured functionalities.
By bringing stop-limit orders on DEX, managing users’ liquidation, automating top-ups, Gelato is creating an advanced and user-friendly ecosystem for crypto adopters.
Read more about Gelato’s Limit Order library.