Orbit — a layer of automation that allows users to easily define and execute liquidity transactions across multiple protocols.
Orbit protocol on BNB Chain
The team began development of Orbit, based on two beliefs. One of them - the emergence of low fee environments that enable faster and better automation. Another is the availability of protocols such as Uniswap v3, which takes investment efficiency and operational complexity to a new level.
The first version of Orbit allows users to automate operations and strategies on Uniswap v3 positions. Without paying any fees, you can get additional income from concentrated liquidity and reproduce existing practices in the so-called "vaults".
Distinctive features:
| 1. | Reinvest fees in your position to maximize APY (+0.5-10%). |
| 2. | When you are out of reach, deploy assets on another chosen protocol or rebalance positions. |
| 3. | Entry and exit from positions with one transaction and separate tokens. Save on gas bills. |
Orbit operates through a smart storage system where each user has their own smart contract that takes care of all the work. Automation provides a direct impact on position profitability. For example, an auto compound provides an estimated additional return, ranging from 0.1% to 10%, depending on the accrued commissions and the term of the position.
Dormant liquidity (the use of liquidity in other protocols while it is outside the acceptable range) provides additional returns of 1-5%, mitigating potential short-term effects of losses. Another benefit is tracking and managing positions from a single source.
Work rules
First of all, to get started with Orbit, you need to create a smart vault, which is used as an account for processing tokens. This operation is simple and cheap and only needs to be done once. Users can mount their positions directly through the liquidity provision page.
The first step - to decide which pool to provide liquidity to. The user can choose any pool or pair of tokens, but they all have different characteristics and risk profiles. There are several metrics to consider when deciding which pool to choose, such as TVL and volume.
The next step - to determine the price range in which liquidity is provided. As a standard, Orbit initially assumes a range. After changing the initial range, the user can always return to the suggested range by pressing the button.
The last step to closing a position is making a deposit. The user must decide how much capital to deposit inside the position. The ratio between two tokens is determined by how the price range has been set. You are ready to approve the transaction by clicking the button to fund your wallet. Once the transaction is confirmed, you provide liquidity to Orbit.
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