Kapan Finance
{"type": "project", "title": "Kapan Finance", "logoImg": "bafkreiahfmw3di6uuqpl5seaa56z7tysdjqaqrfusxvwcubuplwgajauoi", "website": "https://kapan.finance", "bannerImg": "bafkreifqv6glqcp6h6xhibrtt5lsyhvjpte2rgdm63ljxhad73eidyabra", "createdAt": 1740918200369, "credentials": {}, "description": "One-click debt optimization across Aave & Compound, powered by flash loans.\n\n\n\nProblem\nDeFi users struggle to capitalize on fragmented lending rates:\n\nCostly inefficiency: Borrowing USDC on Aave costs 5% more APR than Compound, but manually refinancing requires upfront capital and technical expertise.\n\nProtocol loyalty traps: Users stick to one platform (Aave/Compound) despite better rates elsewhere, wasting thousands in avoidable interest.\n\nMEV for whales only: Flash loan arbitrage is reserved for bots and institutions, leaving retail users behind.\n\nSolution\nKapan Finance automates cross-protocol debt optimization for everyday users:\n\n🔄 Atomic Debt Migration: Refinance loans between Aave and Compound in one transaction, using flash loans to eliminate upfront capital.\n\n📊 Rate Comparison Engine: Instantly surfaces the best borrow/supply rates for assets shared across protocols (e.g., USDC, ETH).\n\n⚡ Arbitrum Alpha: Live on Layer 2 for fast, low-cost transactions (currently in alpha testing).\n\n🔓 Non-Custodial & Permissionless: No deposits; users retain full control of their positions.\n\nImpact\nSave 5%+ on Borrowing: USDC borrowers on Aave can instantly slash costs by moving to Compound.\n\nDemocratize MEV: Turn “extractive” flash loans into a public good for retail DeFi users.\n\nBoost Protocol Health: Incentivizes rate competition between Aave/Compound, improving liquidity for all.\n\nTechnical Differentiation\nGas-Optimized Execution: Tightly integrated with Arbitrum’s low-fee environment.\n\nRisk Mitigation: Simulations ensure users save money before executing (e.g., “Move debt only if net savings > gas cost”).\n\nGitcoin Alignment\nPublic Good: Empowers retail users with institutional-grade strategies.\n\nEthereum-Centric: Built on Arbitrum, composable with Aave/Compound’s L2 deployments.\n\nOpen Roadmap: Core contracts will be open-sourced post-audit.\n\nProgress & Next Steps\n✅ Current Status: Live alpha on Arbitrum (supply, repay, debt migration).\n\n🚧 Next Phase:\n\nSmart contract audit (Q3 2025).\n\nExpand to Optimism, Base, and other Aave/Compound markets.\nExpand to support more lending protocols.\nExpand to support automated debt movement without user interaction.\n\nIntegrate rate alerts (e.g., “Notify me when USDC borrow rates dip 3%”).\n\nHow Gitcoin Support Helps\nFunds will directly accelerate:\n\nSecurity: Cover audit costs for user trust.\n\nUX Improvements: Build rate alerts, tutorials, and a savings calculator.\n\nMulti-Chain Expansion: Deploy to Optimism and Base.\n\nCall to Action\nTest the Alpha: Try Kapan on Arbitrum and share feedback.\n\nJoin Governance: Help prioritize future integrations (Euler, Morpho).\n\nSpread the Word: Educate users trapped in suboptimal debt positions.\n\nDemo: www.kapan.finance | Twitter: @KapanFinance\n\nWhy This Matters\nDeFi’s promise is diluted when users overpay for loyalty. Kapan Finance fixes this by making rate arbitrage simple, accessible, and fair — a true public good.\n\n", "logoImgData": {}, "bannerImgData": {}, "projectTwitter": "KapanFinance"}