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CoWSwap's Use of Flash Loans for Settlement Enhancement

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3 years ago

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New technical post in the CoW Forum! The post outlines how @CoWSwap could support permissionless flash-borrowing of funds to enhance CoW Protocol settlements. CoWs + Flash Loans = Innovation BOOM! forum.cow.fi/t/using-flash-loans-inside-cow-swap-settlements/1706
Flash loans allow for integrations that "bridge" or "wrap" an existing "searcher-based" trading model, making it CoW Protocol compatible without releasing a new smart contract. Examples include • Liquidation engines • Levering up/down CDPs • Surplus Capturing AMMs
The main benefit of using the CoW Protocol intent model in these cases is that it allows the users of the underlying protocol to capture any price improvement AKA Surplus. Make sure to read the post and leave your comments in the link below! forum.cow.fi/t/using-flash-loans-inside-cow-swap-settlements/1706
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@CoWSwap

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