What is Algofi ?

Algofi is a fast, low-cost crypto lending market on the Algorand blockchain that makes decentralized lending broadly accessible. Algofi aims to be the first crypto-native bank that bridges the gap between traditional and decentralized finance. Algofi's simple fiat on-ramp allows users to buy crypto and earn interest without a bank or centralized custodian. In addition, traders can use Algofi to go short or to trade with leverage. In the future, Algofi will offer more traditional banking services like savings accounts and credit cards, all powered by the growing DeFi ecosystem on Algorand. [1]

How Algofi is using Algorand ?

By leveraging the Algorand protocol and its Pure Proof-of-Stake (PPoS) consensus mechanism, Algofi is able to facilitate sub-cent transactions that settle in seconds--a key component of Algofi’s user-friendly, mass-accessible platform. This foundation will also enable Algofi to continue scaling its platform in terms of number of transactions as well as the introduction of new financial services in the future. In addition, Algofi chose to build on Algorand due to its very strong native community and the ready availability of robust developer tools, which enable the fast and simple creation of the smart contracts that power Algofi.[1]

Methodology

• Contract https://docs.algofi.org/protocol/mainnet-contracts

Staking

• Providing liquidity will be sent to the Market Address(in a axfer or pay transaction depending on the asset) and will share a group transaction with the Market App ID.
• The application call transaction with the Market App ID will have a transaction message of ‘Market: mt’(i.e. try_base64_decode_string(tx_message:txn:note::string) = ‘Market: mt’)

Unstaking

• Finally withdrawing liquidity from AlgoFi will behave similar to the borrowing liquidity transactions except the parent application transaction will have a transaction message of “Market: rcu” indicating a borrow(i.e. try_base64_decode_string(tx_message:txn:note::string) = ‘Market: rcu’)

Show the stake vs unstake actions over time

• There has been a rise in activity of staking and unstaking lately since Feb 21, 2022
• Highest being 3.38M STBL staked and 3M STBL unstaked on Feb 21, 2022.
• The average staking has been higher on most weeks, except Jan 31, 2022 where was the average unstaking amount was 4.3K

Number of Wallets

• The highest number of wallets staking were 410 wallets staking during Feb 21, 2022 vs 295 wallets unstaking during Feb 28, 2022.
• Till date a total of 1.5K wallets have staked STBL vs 1.1K wallets have unstaked.

Total amount of STBL staked

• The total amount of STBL staked till date is 445k STBL tokens.
• Seems like it was mostly people unstaking until Feb 28, which saw a huge spike in STBL staked.