This is a quick primer on Instadapp that will quickly download lots of information related to Instadapp and how it works. You can read the and follow along staying on this page to get a good overview. There will find links beneath sections providing additional information if you want to dive deeper.
Table of Contents
- What is Instadapp?
- What is a DeFi Smart Account?
- Why do I pay gas to create the account? and does the smart wallet need gas?
- Locate your unique DSA Address
- Where are my assets?
- Utilizing Protocols with your DeFi Smart Account
- Other things to keep in mind
- What happens if I can't open the Instadapp website?
- Welcome to the DeFi Smart Layer
- Simulation Mode
- Strategies and One Click Options
- Do More with your DeFi Smart Account
What is Instadapp?
Instadapp is infrastructure for Decentralized Finance. Instadapp is a collection of contracts, services and features that comprise the Instadapp protocol we somtimes refer to as the 'DeFi Smart Layer.' This video will walk you through getting started and creating your first account.
What is a DeFi Smart Account?
A DeFi Smart Account is a unique smart contract wallet used to interact with Instadapp. The wallet is non-custodial and owned only by you. The smart wallet is associated to your regular Metamask wallet but has its own address and can store its own assets. Most transactions on Instadapp do not interact with your wallet directly but rather the DeFi Smart Wallet you generate.
Why do I pay gas to create the account? and does the smart wallet need gas?
When you initiate a DeFi Smart Account (DSA) your wallet directly creates its own DeFi Smart Account. This ensures the wallet is controlled and owned solely by you. When you interact with the DSA you pay gas from your regular Metamask wallet. Once the initial account creation transaction confirms you will find your account loaded into the interface.
Locate your unique DSA Address
Your DeFi Smart Account has a unique address like any other contract or wallet on Ethereum. You can lookup your account on the blockchain for better view. This can be helpful if you are unsure if you sent a transaction or need to confirm any transactions in your DSA.
When you interact with the integrations on Instadapp these integrations interact with your unique DeFi Smart Account so these interactions do not occur in your Metamask address.
- You may not see your Instadapp accounts on other protocols as they do not load your DeFi Smart Account.
- Your unique DeFi Smart Account has its own addess and is searchable on Etherscan.
- Explorers like Zapper.fi and Debank.com support Instadapp accounts and will list your DSA assets.
Where are my assets?
The Instadapp Defi Smart Account is its own address, Instadapp does not utilize your Metamask wallet but rather the unique Smart wallet associated with your account. To begin using your Instadapp Account deposit assets into the account using the deposit screen. You can also import your DeFi Positions or deposit directly into the contract address.
More Info on Smart Wallet Addresses Unlike EOA accounts, DeFi Smart Accounts are smart contracts and their addresses are unique to each network. This is important to note: therefore your DSA Address for Polygon will not receive funds sent to its address on Mainnet. Any funds send to a DSA address on the wrong network will be lost!
Utilizing Protocols with your DeFi Smart Account
Remember that Instadapp is its own wallet so any interactions occur within it. If you borrow assets and would like to utilize them with your Metamask wallet you will need to withdraw them out of the DeFi Smart Account.
Other things to keep in mind
- Remember if you import your position from an external protocol to your account; there is no one click export. You will need to withdraw the position manually, this may require unwinding or paying back outstanding debt.
- You can only withdraw to Owner/Authorities so you can add additional wallets you own to access the same account with different addresses. This can be helpful for giving yourself another access point to your account.
What happens if I can't open the Instadapp website?
Youe funds are SAFU. Your funds do not live on the Instadapp Website but on the blockchain! The website is just an interface for you to interact with your account. You can access your account on an alternative dashboard and you can always use contract calls in the last case scenario. Here are the alternative ways to access your account:
Welcome to the DeFi Smart Layer
You now have a super powered DeFi native Smart Wallet! You can import a position from another protocol or being by depositing assets. Before starting to use Instadapp you can get a great preview by utilizing the Simulation Mode.
The best way to learn is to experience! Instadapp is a multifaceted DeFi platform and learning by error in DeFi can be costly. You an activate Simulation Mode at any time on your current account or without any account and test the various platform features with 100 test ETH. If you created an account but have not utilized it yet, you can use the Simulator to simulate migrating a position into Instadapp.
The Simulator can be accessed on Ethereum, Polygon and Avalanche networks. The simulator has best results with Ethereum.
Strategies and One Click Options
Easily manage your DeFi positions with Strategies. Strategies are one click functions which combine multiple operations for a desired effect. Strategies allows users to gain the most value from their assets and brings efficiency to DeFi.
Levarage Token A (Collateral) is increased by borrowing against Token B (Debt)
Utilize ETH as collateral and then leverage it with DAI as the Debt.
Save Token A (Collateral) is sold to pay back Token B (Debt)
Utilize ETH Collateral to pay back the DAI Debt.
Alternative Usage / Advanced Techniques
The strategies as described above are their most general usage. However, Traders can utilize Instadapp strategies to create complex trades such as accomplishing shorts on their debts, or over-leveraging stablecoins for yield or trading across collateral assets.
Do More with your DeFi Smart Account
Your DeFi Smart Account is packed with features and functionality to make it your treasured smart wallet and an essential component to your DeFi journey! Here are a few more topics and tutorials to get your started!