Flashstake

Yield Aggregator

Flashstake is a novel protocol that allows users to receive instant yield upfront by locking assets for a chosen duration.

Risk Rating
Average
Protocol Code Quality
Protocol Maturity
Protocol Design
Summary
What we like
Flashstake is a novel protocol that allows users to earn instant, upfront yield on their crypto assets by locking up principal for a chosen duration.
What we like less
Flashstake is not a risk-free protocol, as it relies on complex smart contracts, external data sources, and market forces that could cause unexpected outcomes.
What it means for you
Flashstake could be a useful tool for you if you want to earn upfront yield on your crypto assets without risk of liquidation. You can unlock your principal at any time by repaying a portion of the upfront yield.
Information
Exploit/Hacks
None
Info
  • Website
  • Token: FLASH
  • Tags: Yield Aggregator
Key Metrics
  • TVL: $461.3K (Rank #202)
  • TVL Ranking by Yield Aggregator: #0
  • Blockchain: Ethereum, Arbitrum, Optimism
  • Chain TVL
    • Ethereum: $324.28K
    • Arbitrum: $135.39K
    • Optimism: $1.62K
Risk Assessment
Average
Protocol Code Quality
  • Code reviewed by at least one experienced auditor; PeckShield audited in June 2022
  • Public team promotes accountability
  • No documented protocol hacks since launch
Protocol Maturity
  • Latest protocol version launched in 2023; maturity over one year minimizes technical risk as smart contracts are well battle-tested
  • Top 20% by total value locked slightly reduces risk
  • Core contracts require on-chain voting for parameter updates
  • Multisig consists of less than 4 signers, which makes the protocol more susceptible to centralization risks
  • No timelock exists or no information documented, which mean a malicious actor could approve upgrades without any delay
  • Low voting power concentration reduces risk
Protocol Design
  • No death spiral concerns
  • This protocol is susceptible to risks related to yield optimizers which deploy custom strategies to automatically manage user funds
Things to know about Flashstake

How Flashstake works

Flashstake is a protocol that allows users to earn instant, upfront yield on their crypto assets without locking them up for long periods of time. Users can deposit their assets into various Flashstake Time Vault Strategies (TVS), which leverage the power of underlying protocols like AAVE, GMX, and Lido, to generate yield. Users can then Flashstake their principal tokens to mint Time-Based Tokens (TBTs) and redeem the received TBTs for yield in a single transaction. TBTs represent the time value of money for an asset and are an ERC-20 token created whenever a new strategy is registered. This way, users can access their yield immediately and use it for other purposes, such as trading, investing, or spending.

How Flashstake makes money

Flashstake makes money by charging a small "time" fee (ranges from 0-20% but currently set at 5% on all networks) on all upfront yield generated by the protocol. This time fee is transferred to the Flash Capacitor, which is a smart contract that holds the collected fees and distributes them to FLASH token holders. FLASH is the native token of the Flashstake, which gives holders a share of the protocol’s revenue. The only way to remove time fees from the Flash Capacitor is by depositing FLASH tokens.

How you make money on Flashstake

You can make money on Flashstake by depositing your crypto assets into one of the available Flashstake TVS, which offers different yield rates and durations. You can then Flashstake your principal tokens to receive your yield upfront in TBTs, which you can swap for any other token on Uniswap or other decentralized exchanges. You can also withdraw your principal at any time by paying back a portion of your upfront yield. Alternatively, you can also hold FLASH tokens and stake them in the Flash Capacitor to earn a share of the time fee.