Autonomy Network: the Future of Blockchain Transactions and Trading?
I was motivated to write this article, because of the unique idea behind the Autonomous network orohect. came across Autonomy Network and got captivated with how different the idea behind the crypto project was.
In this article, I aim to bring to you an imagery of how Autonomy Network is revolutionizing the world of NFTs by giving them a rather unique and incomparable use case that stands out from what we have known.
You may be wondering, “What is Autonomy Network?” and I’d love to address that question before proceeding.
What is Autonomy Network?
Autonomy Network is a decentralized network where Web3 app developers, builders, and users are granted access to automation tools for the execution of on-chain transactions.
This means that anyone on the network can use the tools the network provides to automate a trade action that would be executed in the future under any condition. The automated tools are bots that initiate the developers requests once the condition that has been set is reached. On Autonomy Network, these bots are NFTs, referred to as “aNFTs”.
Okay, that may still be a little bit confusing. Stay with me as I shade more light. Have you ever engaged in trading crypto? Or at least, thought to? What type of trade was it? Shot? Long — popularly know as “Futures”?
Most people often get discouraged when they think of how to stay glued to their trades on the market so as to initiate a “stop loss/limit” after their limit orders have been reached. It becomes too tasking and time demanding. On the other hand, NFTs, although the boom of the crypto industry, have been limited to just expensive jpegs or gaming use cases.
So, for those who would rather trade than spend time gaming, are those NFTs of much value? And what happens if people are no longer pumped about buying jpegs at some extreme cost? Now, imagine a future where you no longer have to rack your brain on staying constantly on the blockchain market. Where you can:
– Manage risks and get the best prices on the market?
– Stop loss out of the impending doom on the trade market to avoid impermanent loss?
– Easily transfer your liquidity to a better yield farm once the yield rates in the market changes?
– Set up a smart contract that creates transactions for you with all the guards set against maximal losses without your initiation?
– Do all of the above while spending you esteemed time elsewhere or just resting?
Wouldn’t that be great?
Let’s go one step further. Coupled with the above-mentioned attractions, imagine if you can purchase an NFT which would run all your trading needs once you give it a command. How valuable will that NFT be to you?
I can hear you stress, “very valuable!” That is exactly what Autonomy Network plans to achieve as a blockchain protocol. It is the solution to blockchain trading through Tokenization! You may be a little bit unsure about the fundamentals to the logic Autonomy Network has going. Read the breakdown below:
First thing you have to note is that the Autonomy network is itself an on-chain registry where transaction requests are registered. A decentralized network of bots also monitor the ecosystem waiting to immediately execute the requests once the condition set comes true.
Not all the bots are expected to jump in to execute a task, yeah?
Fact is, although these bots monitor the Autonomy network, they are NFTs which would be bought by users and only used to execute the commands of their sole owners.
Autonomy Network, therefore, organizes its bots with a Proof of Stake (PoS) algorithm and this will determine which bot is expected to execute a user’s request.
Here’s an illustration.
Let’s say you want to trade on Binance Exchange using Autonomy. Your plan is to go shot and buy ETH with USDT at the price of $400. You should be setting a limit order, right?
There will be two parts to this transaction, which we will set as A and B. A being your “Request” and B being the Bot’s execution to the initiated “Request”.
- You register a Request in the Autonomy Registry indicating that you want to exchange (swap) your USDT for ETH on Binance Exchange with this condition; “if and only if the price of ETH is less than or equals to $400”.
- The bot that has been assigned to you (your loyal NFT) has been authorized to execute your pending Requests once the condition is met.
Once your bot sees the condition to the transaction has been met, the bot calls in the Autonomy registry.
The required amount of USDT the user has set to buy the ETH will be transferred out of the user’s wallet to the Binance exchange. The swap is executed and the ETH of equivalent worth is sent back to the user’s wallet.
If the condition in A is not met, then part B would never occur. And the added benefit is that even if anyone tries to execute the transaction against the stop limit, there would be an immediate reversal.
Do you now get the logic?
Given the detailed explanations above, I bet you can now see why the Autonomy Network is quite distinguished from the Blockchain NFT projects we’ve had.
Tokenizing bots and making them play an active role in DeFi transactions is revolutionary to the cryptoverse. I’m looking forward to this amazing project.
I know you are very enthralled, as much as I am, and you’d like to keep up with updates and information on the network. Here are the channels you should follow: