Research Summary
This report provides an in-depth analysis of Instadapp, a platform that aggregates various DeFi protocols. It explores the platform’s key features, including Instadapp Lite, Instadapp Pro, flashloan aggregator, Avocado, revenue details, aggregation theory, and the potential of a DeFi superapp.
Key Takeaways
Instadapp’s Comprehensive Platform
- Aggregation of DeFi Protocols: Instadapp aggregates various DeFi protocols like lending markets and DEXs, providing value-added services ranging from staking vaults to flash loan aggregators.
- Yield Solution with Instadapp Lite: Focused on ETH staking, Instadapp Lite helps users run leveraged looped staking strategies, consistently outperforming stETH.
- Platform for Power Users with Instadapp Pro: Instadapp Pro allows users to manage positions across multiple DeFi protocols, automating processes like increasing leverage and swapping underlying debt.
Flashloan Aggregator and Avocado
- Best Rates for Flash Loans: Instadapp’s flashloan aggregator finds and utilizes the best rates across various providers, including Aave, Maker, Balancer, and Compound.
- Smart Contract Wallet – Avocado: Avocado, a smart contract wallet, enables users to initiate transactions on any supported chain and pay for gas in USDC.
Revenue and Aggregation Theory
- Cumulative Revenue: Instadapp has made just shy of $2.5M in cumulative revenue, with monthly revenue staying above $100K for the past few months.
- Aggregation Theory in DeFi: The report explores the value chain in consumer markets and how Instadapp acts as an aggregator, focusing on consumers in the value chain.
Potential of a DeFi Superapp
- Integration Across Verticals: A DeFi superapp must integrate protocols within one vertical and aggregate across multiple verticals, including flashloans, DEXs, lending/borrowing, and yield generation.
- Instadapp’s Potential: With account abstraction functionality and an abstraction/aggregation layer, Instadapp provides a glimpse of what a DeFi superapp could look like.
Actionable Insights
- Investment in DeFi Aggregators: The growth and potential of Instadapp highlight the opportunities in investing in DeFi aggregators that provide comprehensive solutions.
- Focus on Consumer-Centric Solutions: The report emphasizes the importance of focusing on consumers in the value chain, making consumer-centric solutions a priority for DeFi platforms.
- Exploration of Superapp Potential: The concept of a DeFi superapp, as illustrated by Instadapp, offers a new avenue for innovation and development in the DeFi space.
