Universal Paymaster
Long term yield bearing swap powered by a universal paymaster.
Project Description
As the paymaster sponsors EIP4337 User Operations, the ETH liquidity providers will have their ETH gradually swapped into the desired output token. The contract will stake a large portion of the escrowed ETH and then lend out the staked ETH to earn interest for LPs. It will also lend out the profit tokens accrued from submitting user ops. This project also acts as a time weighted average price order for LPs but instead of time the order is executed as the paymaster sponsors user ops requesting to pay gas in the selected output token.
How it's Made
This project implements a generalized version of a EIP4337 paymaster. It uses Uniswap V2 style LP position management for capital and rewards accounting in the paymaster. We use the following technologies in our project:
- Uniswap V3 TWAP oracle to quote between ETH and desired quote gas tokens.
- LIDO to stake the escrowed ETH in the Paymaster contract.
- AAVE to lend out STETH and earn additional yield for LPs.
