Use Cases and Applications

The ThirdFi Network is suitable for individuals seeking to engage with DeFi protocols, regardless of their role, whether as investors, project owners, borrowers/lenders, DeFi analysts, or in other capacities.

Execution on DEX

Token Exchange and Swap

• AI agents interact with decentralized exchanges to execute token exchanges or swaps based on predefined criteria or user preferences.

• Monitoring multiple trading pairs, analyzing price movements, and executing trades in real-time to maximize profits or achieve specific objectives.

Automation and Efficiency

• Enables automated and efficient token trading on decentralized exchanges. AI agents can continuously monitor market conditions, adapt to changing trends, and execute trades swiftly, without human intervention

• Optimize trading performance, enhance user experience meanwhile improve trading outcomes.

Potential DeFi Application on DEX: Uniswap, SushiSwap, Pancake Swap, TraderJoe, etc.

Smart Contract Validation

Code Analysis

AI agent scans the smart contract code line by line, identifying potential vulnerabilities, bugs, or security loopholes. It evaluates the logic and syntax of the code to ensure compliance with best practices and coding standards.

Security Checks

Using predefined rules and heuristics, the AI agent performs security checks to identify common vulnerabilities such as reentrancy, integer overflow, or unauthorized access. It also examines the contract's permission settings, ensuring that only authorized parties can interact with it.

Regression Testing

Conducts regression testing by simulating various scenarios and input parameters to validate the contract's behavior under different conditions. It checks for edge cases and boundary conditions to ensure robustness and reliability.

Smart Analysis for Borrowers / Lenders

Borrowers

• AI agents provide personalized loan offers and recommendations based on their risk profile, financial history, and collateral assets. It helps borrowers understand their borrowing capacity, available options, and potential risks associated with different loan terms.

• Monitors market trends, liquidity pools, and interest rates across DeFi protocols to identify opportunities and risks for both borrowers and lenders. It provides real-time insights and data-driven recommendations to help users make informed decisions.

Lenders

• AI agent analyzes the extracted features to assess the creditworthiness of borrowers and the risk associated with lending. It evaluates factors such as collateral quality, liquidity, market volatility, and historical default rates to determine the likelihood of loan repayment.

• AI agents develop optimized lending strategies for lenders. It recommends parameters such as interest rates, loan terms, collateral requirements, and loan-to-value ratios to maximize returns while minimizing the risk of default.

Potential DeFi Application: Aave, MakerDAO, Kava, Compound, etc.

Smart Decision for DAOs

Data Analysis

AI agents gather and analyze data related to the governance of the DAO, including voting patterns, proposal outcomes, and community sentiment. They process this data to identify trends, preferences, and areas of consensus or contention within the developer community.

Predictive Modelling

Using machine learning algorithms, AI agents create predictive models to forecast the potential impact of proposed governance decisions. They analyze historical data to predict the likely outcomes of different proposals and assess their implications for the DAO and its stakeholders.

Optimization Strategies

AI agents develop optimization strategies for governance processes within the DAO, such as voting mechanisms, proposal prioritization, and resource allocation. They identify opportunities to streamline decision-making, enhance efficiency, and improve overall governance effectiveness.

Smart Investing for Investors

Yield Farming

AI agents can assess various liquidity pools, calculate potential returns, and identify optimal farming opportunities based on factors such as token price movements, liquidity levels, and transaction fees. They can also help investors rebalance their portfolios and reallocate assets dynamically to maximize yield while minimizing exposure to impermanent loss.

Staking, Liquid Staking, Liquid Restaking

Analyze different staking protocols, evaluate reward rates, and monitor network conditions to to route for the most profitable options. They can also assist in managing staking parameters, such as APY generated, airdrop probability, and protocol to restake.

Potential DeFi Application: Lido Finance, Rocket Pool, EtherFi, PendleFi, etc.

AI-driven identity verification

• Advanced machine learning algorithms to verify individuals' identities with a high level of accuracy and efficiency. This technology involves analyzing various data sources, such as government-issued IDs, biometric data, and behavioral patterns, to establish a person's identity reliably.

• To mitigate the risk of DeFi users losing access to their cryptocurrency wallets due to misplaced private keys or recovery phrases, an AI agent serves as an alternative safeguard, ensuring the protection of wallet funds from potential loss.