FODL Trade Lifecycle

The FODL platform combines several money "legos" of the DeFi ecosystem - flash loans and collateral lending platforms, combined with proprietary position protection bots and cross-asset price indexing - to build a fully decentralized margin trading platform.
The following describes a typical FODL trade lifecycle:
  1. 1.
    A user selects a supply asset and supply amount, a borrow asset and leverage.
  2. 2.
    The FODL platform calculates how much of the borrow asset is required to match the leverage.
  3. 3.
    When a user opens the position, FODL takes out a flash loan capable of opening the full leverage position in a single transaction.
    • This effectively allows the user to leverage their principal beyond the limits of the underlying platform
  4. 4.
    A user configures a stop loss bot or take profit bot.
    • This action sends configuration data around cross-asset price action to FODL’s bot system.
  5. 5.
    If market conditions reach the user’s configured price, FODL bots will unwrap a portion or entirety of the user’s position per configuration.
    • Prices are determined by price oracles of the underlying platform (ie. Compound price oracles or Aave price oracles respectively for positions on each platform)