PowerPool is an innovative decentralized network aiming to revolutionize the landscape of Decentralized Finance (DeFi) and AI automation. The core component of PowerPool is its DePIN (Decentralized Physical Infrastructure Networks) layer, which powers AI agents and DeFi automation across a multichain universe. By leveraging substantial liquidity, a massive user base, and numerous transactions, PowerPool brings superpower capabilities to various blockchain networks.
Table of Contents
The Core Concepts of PowerPool
PowerPool Overview
PowerPool operates a DePIN network of Keeper bots known as PowerAgent. These bots empower AI agents and enable DeFi automation by providing reliable and cost-effective transaction automation services. The PowerPool network executes on-chain transactions based on both on-chain and off-chain conditions automatically.
Transaction Execution as a Service
PowerPool offers “Transaction Execution as a Service” for users, protocols, and DAOs (Decentralized Autonomous Organizations). This service streamlines the execution of AI-generated decisions, users’ daily on-chain routines, and complex DeFi strategies. The transactions that need to be executed automatically are termed as “flows.”
PowerAgent supports both interval-based flows, such as claiming rewards daily or streaming payments, and complex resolver flows, which are based on specific on-chain and off-chain logic. Examples include limit orders, liquidation protection, and Uniswap v3 position management.
Multichain Compatibility
PowerPool is chain-agnostic, meaning it can be launched on any EVM-compatible chain. This includes Ethereum, Arbitrum, Gnosis, Polygon, Sepolia testnet, and future integrations with various rollups, Bitcoin L2s, L3s, and parallelized EVM chains. The protocol supports Account Abstraction (AA) and integrates with Gnosis Safe by Partitura.
PowerAgent Network
Overview of PowerAgent
PowerAgent is a decentralized and permissionless network of Keeper bots developed by PowerPool. These bots automate smart contract executions according to AI intents and algorithms created by users.
Usage of PowerAgent
To use PowerAgent, users need to create automation jobs. These jobs are executed by Keeper bots, which earn execution fees and CVP incentives. The Keeper bot software is open-source, requiring stable RPC (Remote Procedure Call) for operation. Node owners and validators are ideal for running Keeper bots, as it provides an additional revenue stream without significant resource consumption.
Job Submission and Configuration
Users can automate their on-chain actions by submitting a job to the PowerAgent network. A job defines the target and conditions for automated transaction execution and can be configured in multiple ways:
- Interval-based Jobs: Executed once in a predefined interval.
- Resolver-based Jobs: Rely on specific logic to determine execution timing.
Jobs can also be configured with various parameters, including the stake range for eligible keepers, the payment source, and the maximum block base fee to prevent execution during gas spikes.
The Evolution of PowerPool DAO
Launch and Early Development
PowerPool was launched in 2020, pioneering the concept of meta-governance for accumulating voting power in third-party protocols without traditional VC or investor funding. The community-driven initiative led to the development of decentralized token baskets known as ‘Power Indices.’
Development of Automation Network
In October 2020, PowerPool developed its own automation network to support automated DeFi products. This network has been in operation for almost four years, managing tasks such as TWAP oracles, staking tokens, harvesting yields, and reallocating capital.
PowerAgent v2
In mid-2022, PowerPool began developing PowerAgent v2, a next-generation DePIN network for automating on-chain executions. After extensive development and community testing, PowerAgent v2 is now live on multiple chains, including Gnosis Chain, Arbitrum, Ethereum, and Sepolia testnet.
The CVP Token
Utility and Use Cases
The native token of PowerPool is CVP, which serves several critical functions within the protocol:
- Securing the Network: CVP is used for staking to secure the operation of PowerPool Keepers’ network.
- Governance: CVP holders have governance rights, allowing them to participate in decision-making within the PowerPool DAO.
Staking Requirements and Rewards
To join the PowerAgent decentralized network of keepers, node runners must stake a minimum of 1000 CVP. This stake acts as a security deposit, protecting the network against malicious behavior. If a keeper fails to execute a job on time, a portion of their CVP stake may be slashed.
The CVP stake influences the rewards keepers receive for task execution. Job owners can define the desired staking range for potential keepers, which affects both the security and the rewards for job execution.
Governance and Distribution of CVP
Governance Rules
CVP token holders can create proposals within the PowerPool DAO. Voting outcomes are based on a simple majority, with a quorum of 400,000 CVP total votes required.
Token Distribution
PowerPool was launched without VC funding. The initial distribution of CVP tokens was conducted through liquidity mining and a community drop. The total supply of CVP is 100,000,000, with distribution allocated as follows:
- Community Drop: 1.9%
- Burned Tokens: 9.5%
- Ecosystem Fund: 10%
- Team: 17.5%
- Circulating Supply: 31.1%
- Protocol Treasury: 30%
Use Cases for PowerAgent dePIN Network
AI-Generated Intents and Flows
PowerAgent can automate complex transaction sequences generated by AI, providing efficient execution of AI-driven decisions.
Automated Trading Strategies
PowerAgent supports various automated trading strategies, such as limit orders and Dollar Cost Average (DCA) strategies.
Multi-Chain Strategies
PowerAgent can automate multi-chain strategies, including automated asset purchases on other chains and rollups, leveraging existing bridge infrastructures.
Liquidation Protection
PowerAgent provides automated liquidation protection for Collateralized Debt Positions (CDPs) and lending markets, potentially mitigating losses during market fluctuations.
Smart Liquidity Provision
PowerAgent can manage Uniswap v3 position strategies, optimizing liquidity provision.
Fund Management
Automated fund management strategies, such as vaults and yield aggregation, can be implemented using PowerAgent.
Balancer v2 Asset Management
PowerAgent can manage Balancer v2 asset managers, maintaining asset reserves and transferring yield to pool liquidity providers.
Scheduled Payment Streams
PowerAgent supports scheduled payment streams, automating regular financial transactions.
Protocol Parameter Updates
PowerAgent can automatically update protocol parameters and manage DAO-related funds.
Conclusion
PowerPool and its native CVP token represent a significant advancement in the DeFi and AI integration landscape. By providing a decentralized and permissionless network of Keeper bots, PowerPool enables efficient and reliable automation of on-chain transactions. With its multichain compatibility, robust governance structure, and extensive use cases, PowerPool is poised to play a crucial role in the future of DeFi and AI-driven automation.
