DeFi Operations
When to Use
- Swapping tokens on DEXs (Uniswap, Curve, 1inch)
- Lending/borrowing (Aave, Compound, Morpho)
- Staking (Lido stETH, EigenLayer restaking)
- Providing/removing liquidity (Uniswap V3, Curve)
- Flash loans (Aave, Balancer, dYdX)
- Perpetual trading (GMX, dYdX v4)
- Yield vaults (Yearn, ERC-4626 vaults)
Prerequisites
- MCP:
blockchain-rpc-server,defi-protocol-server,price-feed-server - Skills: skill-02 (contract calls), skill-12 (gas), skill-15 (MEV for swaps)
- Guardrails: simulate all txs; screen counterparties
Workflow
1. Swap
- Get quote from
defi-protocol-serveror 1inch API - Check price impact (< 1% for large trades; use TWAP if higher — skill-15)
- Verify router address against known-good list
- Set slippage tolerance (default 0.5%, max 3% without confirmation)
- Approve exact amount (never unlimited without explicit user consent)
- Execute swap; verify received amount ≥ minOut
2. Lend / Borrow
| Protocol | Supply | Borrow | Liquidation Threshold |
|---|---|---|---|
| Aave V3 | supply() |
borrow() |
Health factor > 1.5 recommended |
| Compound V3 | supply() |
N/A (Comet) | Collateral factor varies |
| Morpho | Optimizer bundles | Peer-matched rates | Check LLTV |
Always maintain health factor buffer. Monitor oracle price feeds (skill-11).
3. Stake / Restake
- Lido:
submit()ETH → stETH; check rebasing vs wstETH for integrations - EigenLayer: deposit into strategy contracts; track withdrawal queues
- Liquid staking: verify validator set and slashing risk
4. Liquidity Provision
- Uniswap V3: select tick range; narrow ranges = higher IL risk
- Calculate impermanent loss before deposit
- Use
defi-protocol-serverfor current pool APR/TVL
5. Flash Loans
- Identify provider (Aave: 0.09% fee, Balancer: 0% on some pools)
- Build callback contract with atomic repay logic
- Simulate full transaction — revert if unprofitable
- Never use flash loans for unbounded external calls
Protocol References
See knowledge-base/protocols/ for addresses, ABIs, and subgraph endpoints per chain.
Risk Checklist
- Contract verified and on protocol allowlist
- Slippage and deadline set
- Health factor / collateral ratio safe
- Token approvals scoped to exact amount
- MEV protection enabled for swaps > $1,000 (skill-15)