Revenue Model for Instadapp

Governance
7

Hey @akshaybd! Interesting proposal.

Liked your thoughts around the 3 different revenue stream broadly.

Now Instadapp can have multiple revenue streams from multiple sides of course there should be a balance between users and token holders.

Here are some of my thoughts on where revenue could be generated in the near to mid-term.

  1. Swaps: Maximum (more than 95%) of swaps on Instadapp happens through strategies like collateral swap, leverage etc. Since the time DSAs are live (April 2020), Instadapp has had over $3B of swaps most of which are in the past few months.
  • Total mainnet swaps - $2.75B (stable coin pairs: $1.44B & non-stable coin pair : $1.31)
  • Total polygon swaps are around ~$0.5B.
  1. Flashloan: Instadapp is the biggest flashloan user with an overall flashloan use of above $12B on mainnet. (don’t have the proper stats for Polygon yet).
  2. Automated DeFi Limit Orders: Automated DeFi Limit Orders on top of lending protocols
  3. Instadapp’s own flashloan (forum post coming soon): Inhouse flashloan of Instadapp protocol. Most deepest & biggest flashloan.
  4. Automations.
  5. Earn governance tokens directly from new protocols to allow them to grow by making them composable with existing protocols.
  6. token transfer & refinancing bridge: Move tokens or debt position from any chains (L1 or L2) to any chains (L1 or L2) within minutes.
  7. Payment modules: Payment is one of the biggest markets, making smart accounts extendable to let them set payment limits, recursive payments, subscriptions, borrow & pay from Aave/Compound, etc. Paying anyone from any chain to any chain making a super simple payment infrastructure.

As the Instadapp protocol grows there will be multiple revenues stream from multiple sides. The things we see right now might not even be the main source of revenue for the protocol in future. Although is it the right time to start generating revenue or the community, token holders, investors & team should just be focused on growing the protocol and giving all the benefits to the users using it or developers building on top of it.

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