Greetings Ethereum user,

In this brief article we will cover the following basics:

• The Problem With Ethereum DeFi

• The Shade DeFi Solution

• How To Get Started

The Problem With Ethereum DeFi

DeFi on Ethereum has grown and thrived since early 2017 - the advent of smart contracts and their adoption has unlocked new DeFi use cases for users: trading, lending/borrowing, leverage, staking, options, perpetual swaps, etc.

Unfortunately, decentralized finance on Ethereum has been missing a key ingredient.

Data Privacy.

With this much metadata leaking, programmatic actors can formulate arbitrage and extraction from everyday DeFi users. This total transparency creates a risk of the following:

• Frontrunning / sandwich attacks (Miner Extractable Value)

• Copy cat trading

• Vulnerable liquidation positions

• Security risks tied to identity / wallet correlation

  
  

  

*$675,000,000 extracted value from users (January 2020 - September 2022)

*Copy-cat trading / wallet tracking

For onchain decentralized finance to truly scale, there will need to be encrypted smart contract metadata to protect users and institution on DeFi platforms.

The Shade DeFi Solution

Leveraging Secret Network for data encryption, Shade DeFi offers a suite of DeFi products (stablecoins, lending, trading, etc.) that protects users. Shade DeFi is built on Secret Network - a blockchain empowering encrypted smart contracts and seamless interoperability.

Shade DeFi specifically solves a variety of Ethereum DeFi problems with the following features:

• Encrypted token balances

• 100% MEV resistant swaps

• Private liquidation positions

• Private trading strategies

• Private transactions

• 6 second txs.

• Less than ~$0.10 gas fees

  
  

  

  
  

  

  
  

How To Get Started

(1) Install MetaMask

(2) Install Keplr

(3) Navigate to https://app.shadeprotocol.io/bridge

(4) Connect your MetaMask + Keplr Wallet

(5) Bridge in Ethereum assets

(6) Enjoy Private DeFi

*Note that Shade DeFi is soon to be 100% MetaMask compatible where you will not need to install Keplr. Instead, the app will be fully functional with just MetaMask.

Without privacy, DeFi is incomplete. Traditional financial markets offer a degree of privacy for users, and as a result offer up greater protections in some capacity than existing DeFi markets. Shade Protocol will be the world’s first truly cohesive decentralized and privacy-preserving financial applications — ushering in a golden era for Web3. Shade Protocol will always push for privacy by default, privacy as an expectation, and privacy as the key to unlocking the full value of a decentralized future.

——————————————————————————————————————————

Information provided in this post is for general informational purposes only and does not constitute formal investment advice. Please read the full disclaimer at shadeprotocol.io/disclaimer before relying on any information herein.