As Spool deploys on its first layer-2 blockchain, users on Arbitrum One can now build auto-rebalancing and auto-compounding DeFi portfolios with unparalleled customization, risk management, and diversification.
February 2023— Spool, the DAO platform allowing institutions and users to build seamlessly customizable, risk-managed DeFi yield portfolios, launches on Arbitrum One, its first alternative blockchain to Ethereum mainnet. As the leading layer-2 blockchain in total value locked (TVL), the Arbitrum One integration brings Spool’s Smart Vault creation tool and six strategies to the network’s user ecosystem, which boasts over 2.4 million unique wallets, catalyzing diversified DeFi investment.
DeFi projects have a wide-open space to fulfill crypto’s potential in becoming truly transparent and decentralized. By building stellar products and comprehensive infrastructures that emphasize freedom and diversification, DeFi can help users reclaim their financial autonomy. But decentralized projects often face the perception of being too complicated to navigate, even for crypto natives accustomed to centralized exchanges. This sets the stage for DeFi projects focused on investment diversity while eliminating time-consuming factors like hunting for the best yields possible and improving accessibility for all.
Formerly available exclusively on Ethereum’s mainnet, Spool expands its Smart Vault creation tool and yield generator offering to Arbitrum One, unlocking wider financial accessibility for retail investors and institutions exploring DeFi. Through Spool’s non-custodial platform, Arbitrum’s community can now access a roster of attractive yield generators while maintaining control of risk appetite and portfolio diversification.
The integration follows a successful vote and thorough risk assessment conducted by the Spool DAO, which designated six initial yield strategies to launch on Arbitrum One. They include:
- Curve 2Pool: USDC and USDT
- Aave DAI, USDC, and USDT
- MIM Curve USDC and USDT
- Yearn Curve MIM
- TimelessFi USDC
- Balancer DAI, USDC, and USDT
Spool’s 5-step Smart Vault creation toolbox eliminates DeFi’s complexity while allowing investors to curate their risk appetite, fund allocations, and market exposure. Its comprehensive framework mirrors existing financial language and portfolio management options to expand accessibility for institutions and retail investors that are new to decentralized investing strategies. Spool’s advanced customization and streamlined user interface also enable institutions to create DeFi portfolios for themselves or to white-label their Smart Vault into their own product offering.
Designed to provide speed improvements and lowered scalability costs to Ethereum without eschewing security, Arbitrum has grown to have the highest TVL, volume, and unique wallet addresses of any current layer-2 blockchain. Its flagship product, Arbitrum One, is an Optimistic rollup protocol with Ethereum-level security and greater flexibility. As Arbitrum’s community grows, Spool’s deployment positions itself to become the DeFi destination for the blockchain network’s ecosystem to utilize.
“We are thrilled to deploy Spool on Arbitrum, our first layer-2 integration, and introduce our DeFi solution to its vibrant user ecosystem,” says Philipp Zimmerer, Chief Strategy Officer of Spool. “Deploying on a new blockchain required serious deliberation and analysis for us, but we ultimately chose to work with Arbitrum given its penchant for transparency, community engagement, and consistent emphasis on working with innovative projects.”
Offchain Labs’ Chief Marketing Officer Andrew Saunders added, “Spool’s deployment on Arbitrum One will provide a new entryway for our community to explore and create their own DeFi products using language and processes they are already familiar with. We strive to integrate innovative, industry-leading products into our robust and collaborative ecosystem, and we’re excited to see how our community leverages the availability of Spool to invent new platforms that can benefit us all.”
Spool is a DAO building a comprehensive and simplified infrastructure for DeFi investment products. Spool unlocks the capabilities of decentralized investment to a global audience through a single interface that prioritizes accessibility and customization. By providing a top-tier toolbox for institutions and investors alike–Spool opens the door for diversified, risk-adjusted DeFi returns. To learn more, please visit https://www.app.spool.fi/
About Offchain Labs
Offchain Labs is a venture-backed and Princeton-founded company that is developing Arbitrum, a suite of secure scaling solutions for Ethereum. Arbitrum is the leading layer 2 scaling provider and has two live blockchains — Arbitrum One, an Optimistic Rollup solution and leading choice for DeFi dApps, and Arbitrum Nova, an AnyTrust solution and home for gaming and social dApps including Reddit’s community points. Arbitrum’s technologies instantly scale dApps, significantly reducing costs and increasing speed, without sacrificing Ethereum’s security. Porting contracts to Arbitrum requires no code changes or downloads as Arbitrum is fully EVM-compatible. In 2022, Arbitrum upgraded to its new Nitro tech stack, enabling fraud proofs over the core engine of Geth compiled to WASM which significantly increased the throughput capacity of the network while meaningfully decreasing transaction costs.