Redstone, a blockchain oracle company, has introduced an innovative product named Atom aimed at optimizing liquidations in decentralized finance.
What is Atom and How Does It Work
Atom is the first of its kind liquidation intelligence oracle, providing immediate on-chain price updates. It allows for the automation of liquidations and the capture of maximal extractable value (MEV) without requiring changes to protocol code.
Advantages of the New Product in DeFi
Atom offers several strategic advantages for decentralized finance: - instantaneous price updates, - the ability to capture more liquidation opportunities, - the capability to safely increase loan-to-value ratios, and - better risk-adjusted returns. Additionally, it reduces losses from MEV that would typically leak to third parties.
Technological Basis of Atom
Atom is powered by Atlas, a specialized sequencer developed by FastLane Labs. It enables instantaneous MEV auction functionality that triggers as soon as liquidation conditions are detected. Atom integrates seamlessly within the EVM ecosystem, making it compatible with various protocols without requiring off-chain functionality.
With the launch of Atom, Redstone sets a new standard in managing liquidations on decentralized finance platforms, enhancing not only the liquidation process but also the entire ecosystem of global finance within blockchain technologies.
