The synergy of RedStone’s on-demand Oracles and Gelato’s Web3 functions is a game changer for DeFi. It opens up new possibilities for novel DeFi applications, enabling them to deliver unparalleled user experiences. Float integrated these solutions, allowing them to process user transactions 20x faster.
What is Float?
Float creates peer-to-peer markets where you can mint leveraged tokens in a single click. Leveraged tokens allow you to gain exposure to leveraged returns of popular crypto assets without the additional risks of liquidations, margin maintenance, and collateralized debt positions. Float Arctic is the latest version of the Float protocol.
Float Arctic uses a multi-pool architecture to ensure that your leveraged tokens will receive fixed leverage. That means a token minted at 3x leverage will always get 3x leverage. It won’t float within a range, nor will it ever need to rebalance. Instead, your leverage is supported by a liquidity tranche called the Float pool, which balances all positions in exchange for a funding rate.
Float is the easiest and most enjoyable place to trade leverage. Once contracts are approved, you can mint tokens, burn your tokens and mint any other tokens, and redeem your tokens for collateral in one click.
What is Gelato?
Gelato is web3’s decentralized backend empowering builders to create augmented smart contracts that are automated, gasless & off-chain aware. Leading web3 projects rely on Gelato to power the execution of millions of transactions across DeFi, NFT, and Gaming.
Cooperation with RedStone and Gelato
In order to offer seamless leverage exposure to users, Float retrieves prices for the relevant markets using oracles. In the newest iteration, they combine RedStone on-demand oracles with Gelato’s Web3 functions making the transactions 20x faster!
How is it possible?
Float’s system uses the “RedStone Cache Layer,” an off-chain, decentralized network of nodes that collect validated price data. This updated and verified data is then used by the newest product from Gelato – Web3 Functions, to update Float’s system state. As a result, incoming user transactions are executed and pool balances are updated.
Questions to the Float team
Q1. What are the beginnings of Float?
It all started with a dream. The three founders met while doing postgraduate studies at the University of Cape Town. After winning an Ethereum hackathon they hit the international ETH conference scene, won more hackathons, and became really successful consulting with DeFi startups and auditing contracts. Eventually, one partner was so impressed that he gave the founders an ultimatum: either work for him or, if they had an idea, let him invest in them. The team had been exploring the synthetic asset protocol Synthetix and wanted to build something that was simpler and more capital efficient for users. From that, the idea for Float was born, and the founders raised an initial pre-seed round of $1 million. The team scaled. In September 2021 our v1 – Float Alpha – went live. In early 2022 we closed a seed round of $5 million from amazing VCs like Maven 11, IDEO CoLab Ventures, and MetaCartel Ventures, and angel investors like Stani Kulechov. Since then we’ve been working flat out towards our v2 – Float Arctic.
Q2. What is an interesting fact about Float?
There are tons. We’re a small team – only 10. Most of us are from South Africa. We’re all really close friends. We meet up in person twice a year. We try and meet by the sea. We do morning cold swims – everyone runs into the freezing ocean screaming “we’re in the prime of our lives”. We’re a young team. The oldest member of the team is our CMO Campbell, and he’s only 30. We put tech first. Security is our number one priority, followed by high engineering standards. While Float Arctic was in evolution and we hadn’t settled on a final design for the mechanism, we took the decision to effectively rewrite all the Alpha code line by line. We made Float Arctic modular, such that when we decided to add in the Float pool mechanism, we were able to largely ship it in two weeks. This extends to being able to switch from push-based to pull-based oracles on a dime and integrate a great product like RedStone.
Q3. Where do you see Float 3 years from now?
Our mission is to build innovative financial primitives and DeFi infrastructure. We’re committed to our investors and users to build something special. We’re going to take Float as far as we can and build a product that can dominate DeFi, and be as significant and reliable as AAVE and MakerDAO.