What can the ERC-4626 standard just passed by the Ethereum community do?
Github The official website shows that the Ethereum proposal EIP-4626 has been reviewed by the Ethereum development team, and the status is "Final" (final version). Although the proposal passed, it is uncertain whether it will be included in the next upgrade.
EIP-4626 aims to standardize all DeFi vaults (Vaults) and unify them into ERC-20 tokens, and will provide functions such as casting, depositing and withdrawing, and reading balances, while reducing the integration workload of various project vaults.
The proposal this yearearly januaryCreated by Joey Santoro, co-founder of algorithmic stablecoin protocol Fei Protocol, Jet Jadeja, Rari developer, and t11s.The problem to be solved by the proposal is the current pain point in DeFi: the complex and diverse design types of derivative tokens hinder the interconnection and interoperability between DeFi protocols.
(Reference reading:How Fei Protocol and Rari Capital Merged a Multibillion-Dollar Protocol into Tribe DAO）
In the past two years, crypto users have frequently used various DeFi protocols to generate income. Specifically, there are three ways: earning income through lending agreements (such as Compound's cUSDC, etc.), aggregate income tools (such as Yearn, Rari Vaults, Idle), and pledge income (such as xSushi).
"You can already see that there are many use cases for income tokens. This is due to the lack of standardization of DeFi vaults, which leads to the diversification of implementation details." Joey Santoro explained that these diversified income derivative tokens, in order to be used in other aggregators Or integration in DeFi protocols is difficult. “Each protocol is developing its own adapters, which are error-prone and waste development resources. This is the problem of the entire DeFi industry.”
Therefore, Joey Santoro et al jointly proposed EIP-4626. The protocol was initially set to standardize yield tokens so they would be easier to build and use. simply put,Adoption of ERC-4626 (the tokenized vault standard) would provide a common way for platforms like Aave or Yearn to build assets that reward users.“This could simplify the intertwined DeFi Lego by creating a shared interface for tokens held in vaults (vaults), saving developers time and money.”
“The strategy of tokenized vault standards will allow DeFi composability to explode, providing developers and users with a better experience.” Joey Santoro said. Although this proposal may be only a small change, it may have a profound impact on the usability, liquidity and utility of DeFi, just as the ERC-721 standard laid the foundation for the prosperity of NFT.
Check.GithubCheck.
