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Protocol Architecture

A technical overview of Blot's smart contract design and core modules.

Overview

The Blot protocol consists of several core smart contracts that work together to manage leverage token issuance, rebalancing, and redemption. The architecture is designed for modularity, upgradability, and security.

Core Contracts

Router

The Router contract is the primary entry point for users. It handles minting and redemption requests, routes collateral to the appropriate vault, and ensures proper slippage protection.

Vault

Each leverage token pair has an associated Vault that holds the collateral and manages the leveraged position. The Vault interacts with external lending protocols to achieve the desired leverage.

Rebalancer

The Rebalancer module monitors leverage ratios and triggers rebalancing when the effective leverage deviates beyond the configured threshold. Rebalancing can be triggered by keepers or automated systems.

Keeper Network
Blot uses a keeper network to monitor and trigger rebalancing events. Keepers are incentivized through a small portion of protocol fees.

Oracle Module

Price feeds are sourced from decentralized oracles to ensure accurate and tamper-resistant pricing. The Oracle module aggregates multiple sources and includes circuit breakers for extreme price deviations.


Fee Structure

The protocol charges fees at several points to sustain operations and incentivize participants:

  • Mint fee — charged when minting new leverage tokens
  • Redeem fee — charged when redeeming tokens for collateral
  • Management fee — an annualized fee accrued on the NAV
  • Rebalance fee — covers the cost of rebalancing operations

Contract Addresses

Blot is deployed on the Ink network. Contract addresses will be published here upon mainnet launch.

// Ink Mainnet (Coming Soon)
Router:     0x...
Vault:      0x...
Rebalancer: 0x...
Oracle:     0x...
Leverage TokensToken Stack