TVL Growth Solutions

TVL, or Total Value Locked, is a DeFi-vital metric used to measure the overall health of a DeFi protocol. Its calculation and growth are the key characteristics identifying the success of an ecosystem.

To help protocols increase their TVL, Protofire develops solutions that positively influence the project’s growth.

The problem behind TVL

High-net-worth individuals, funds, and big whales go for DeFi solutions that guarantee their funds and yields. At the same time, many investors are willing to invest $1M+. Most liquidity providers can increase their deposits by 2-10x.

To address this challenge, your solution should demonstrate transparency, risk-mitigation measures, and risk-transfer options to evaporate the fear of high risk and uncertainty from the liquidity providers' minds.

Major risks in the DeFi space:

  • Smart contract logic errors
  • Reentrancy attacks
  • Oracle manipulation
  • Web2/Web3 frontend exploits
  • Rugpull risk
  • Stablecoin depeg

What We Can Provide

Ideation

We research the best TVL growth opportunities for your project and suggest architecture and deployment plans for your solution.

Prototyping

We create a solution prototype to show what it may look like and make necessary changes.

Development

We develop the TVL solution under your supervision, known schedule, and budget.

Quality Assurance

We carry out quality assurance procedures to ensure all features of the solution work as intended.

Deployment

We deploy the solution to the designated environment under your control, following technical requirements.

Maintenance & Support

We maintain the solution and the infrastructure and will trigger you if certain decisions are required.

TVL growth solution opportunities

Protofire can be your strategic partner to boost your TVL's exponential growth by improving security and providing a safer environment for liquidity providers. Surveys + TVL readiness assessment will help you to understand how to unlock TVL growth. Oracle security implementation and usage audits allow you to assess economic exploit threats and technical aspects of implementation. Comprehensive dApp infrastructure security audits for Dapp Infrastructure assess Web2/Web3 website frontend, network, and cloud infrastructure to protect your project from the most common attacks and threats. Protofire Certification Badges are given to projects upon audit completion in the form of NFTs (ERC-721) with the description of verification services provided.

Surveys
TVL readiness assessment
Oracle security
Usage audits
Threat assessment
Infrastructure security audits
Protofire Certification Badges

Types of Services

Research of LP Behavior

Researching the behavior of liquidity providers, such as their unique needs, wants, pains, and fears can unlock the next wave of TVL growth. Your DAO core-Dev, Product, and Marketing teams will receive recommendations on how you can attract HNWI and institutions and increase deposits per LP along with TVL.

Benefits:

  • Develop and execute a survey
  • Design and handle a rewards program for participants
  • Support users in the process
  • Conduct interviews
  • Provide the Report Analysis including User profiles, Empathy Map, Recommendations

Infra Audits & Certifications

The scope of the audit covers:

  • Source code analysis of Web2/Web3 frontend (web pages and mobile apps)
  • Analysis against OWASP top 10 vulnerabilitie
  • Analysis of deployment scripts and repository structure
  • Review of Dapp architecture, including integration between frontend (web2/web3) and backend (blockchain)
  • Analysis of wallet integration methods
  • Review of hosting infrastructure architecture (on-premises or cloud) and best practices usage:
  • Review of network architecture and configuration
  • Review of infrastructure deployment automation (IaC) scripts and scalability configuration

Oracle Security Audit

The scope of the audit covers:

  • Review of Oracle selection based on application requirements (functional and non-functional) and cost constraints
  • Economic risk analysis: a) Availability impact (downtime, DDoS, redundancy, multiple sources) b) Timeliness impact (time to turn around, precision, dynamic fees) c) Reliability impact (trustworthiness of data, resilience to outliers) d) Social threats (front running, flash loans, Sybil attacks, etc.) e) Profit-from-Corruption (PfC) versus Cost-of-Corruption (CoC)
  • Analysis of reliability and trustworthiness of data sources
  • Analysis of DAO governance rules regarding Oracles: a) Consensus mechanism b) Oracle fees policy (static/dynamic, barriers to front running) c) Oracle whitelisting model d) Dynamic model (rounds, disputes, resolution, Commit/Reveal scheme, etc.)
  • Optional analysis of source code and centralized infrastructure (technical analysis)

Safety Module

Most DeFi users are concerned about exposure to the risks of first-party smart contract hacks, stablecoin depeg, or third-party attacks against smart contracts, oracle and bridge attacks, etc.

Protofire can enable insured deposits for users where Premiums are automatically calculated, based on the market price (% of the deposits to be insured, and % of the amount for payment).

Protofire is ready to create multiple risk pools to protect all kinds of markets, where liquidity providers can provide liquidity, earn incentives/yields, and guarantee the markets.

Protofire can enable insured deposits for users. Premiums are automatically calculated, based on the market price (% of the deposits to be insured, and % of the amount for payment).

Book a call with Juan Faya

Schedule a call with our Business Development Manager to receive practical recommendations and a prompt proposal for upgrading your solution.

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