Enzyme Partners with 31Third to Revolutionise On-Chain Portfolio Management

Today, Enzyme is thrilled to announce our partnership with 31Third, a leading institutional crypto company focusing on on-chain asset management solutions. As a result, Enzyme users now have access to advanced multi-asset trading capabilities that includes: instantaneous multi-asset swaps, swift portfolio rebalancing and algorithmic smart order routing.

Introducing 31Third’s Innovative Portfolio Management Solutions

Current Decentralised Exchange (DEX) solutions do not adequately support the complex transactions required for portfolio rebalancing. To solve this, 31Third has built a tailored solution focusing on the needs of asset managers when rebalancing a portfolio.

Thanks to 31Third’s advanced trading capabilities, Enzyme vault managers can now access a transformative toolset for portfolio rebalancing and trading which offers unparalleled efficiency and cost savings. With strategy-based portfolio rebalancing, asset managers can now adjust allocations in one transaction, which reduces costs and slippage. For on-chain ETFs, this integration enables seamless rebalancing during fund share issuance or redemption, ensuring accurate asset composition and compliance.

• Portfolio Rebalancing (Many-to-Many): Asset Managers can pre-define their portfolio’s target allocation, and the Smart Order Router achieves the desired portfolio weights in seconds. The on-chain batch trading solution executes all trades at once.
• Issuing (One-to-Many): Enables a manager to enter into multiple assets at once and initiate a portfolio from a single on-chain asset.
• Redemption (Many-to-One): Allows liquidation of selected on-chain assets or an entire portfolio into a single asset.

Whether it’s many-to-many portfolio rebalancing, one-to-many issuing, or many-to-one redemption trades, 31Third’s platform streamlines these processes with precision and efficiency.

What Will 31Third’s New Trading Features Enable on Enzyme?

Decentralised exchanges have typically been designed for one-to-one asset swaps, resulting in high transaction costs, inefficiencies, and time-consuming processes. However, with multi asset trading capabilities, users will be able to predefine portfolio target allocations and achieve desired weights in seconds, making this feature ideal for on-chain exchange traded funds and actively managed portfolios.

By integrating 31Third’s multi-asset swap capabilities, Enzyme is empowering asset managers and index providers to efficiently rebalance portfolios and execute complex strategies at optimal prices. This will be a game changer for portfolio management across the DeFi space.

Let’s explore these features in more detail.

1. Multi-Asset Swap Feature: Using Enzyme’s vaults, the multi-asset swap feature enables many-to-many trades, meaning the simultaneous selling and purchasing of various assets, or the same assets with different weights. These new trading capabilities will significantly reduce costs and improve efficiency. Moreover, this is particularly useful for asset managers with weighted portfolios or index providers that need to ensure a consistent weighting across asset allocations. By using the multi-asset swap feature, managers can save significant time and money by quickly rebalancing portfolios to a predetermined weight.
2. Algorithmic Smart Order Routing: The 31Third integration will also introduce algorithmic smart order routing, which identifies the best prices and deepest liquidity across exchanges and market makers for each asset, ensuring optimal trade execution. The advanced router analyses ten times more combinations than traditional routers, evaluating 90 possible pairings across a portfolio of ten assets. This new development will enable more informed and efficient trading decisions for asset managers and index providers, significantly reducing costs for managers with larger portfolios and transaction sizes.

What is 31Third?

As one of the industry’s top on-chain trading infrastructure protocols, 31Third will provide Enzyme users with an array of new features to maximise their trading experience. 31Third streamlines portfolio rebalancing for institutions with liquidity aggregation, and provides managers with both smart order routing and batch trading to ensure efficient execution and optimised returns.

Supported by a grant of $115,000 in MLN tokens from Enzyme’s Grant Program, this partnership will simplify portfolio management for asset managers and index providers by optimising trading routes for atomic multi-asset swaps.

The project included three key milestones, beginning with a custom smart contract adapter to connect 31Third with the Enzyme protocol and enable seamless trading across protocols such as AAVE, Compound, Lido and others. The adapter was then audited by ChainSecurity to ensure safety before final APIs were deployed. The final audit report can be viewed here.

How To Get Started

1. Go to your vault menu on the left-hand side panel and click on “Basket Trade”.
2. From the left panel, select the assets you want to sell with their corresponding amounts.
3. From the right panel, select the assets you want to buy with their corresponding weights.
4. Then click on “Review Trade”.
5. Review the trade details and confirm the transaction and sign it with your connected wallet.

How to Adjust the Maximum Slippage

1. Go to your vault menu on the left-hand side panel and click on “Basket Trade”.
2. On the top right corner click on “Settings”.
3. Enter the new maximum slippage configuration.
4. Proceed with your basket trade.

How to Adjust the Maximum Price Impact

1. Go to your vault menu on the left-hand side panel and click on “Basket Trade”.
2. On the top right corner click on “Settings”.
3. Enter the new maximum price impact.
4. Proceed with your basket trade.

For more information and to get started, please visit our docs here: https://docs.enzyme.finance/managers/trade/trading/basket-trade

Accelerating Growth for Builders and Managers

Enzyme’s smart, tokenized wallet infrastructure enables companies, DAOs and managers to accelerate project outcomes and facilitate on-chain asset management. Whether you’re building a dApp, managing on-chain assets or automating strategies, Enzyme can help you succeed.

Get in touch with the team to learn more about Enzyme’s suite of products and services.

For business enquiries, please contact: luca@enzyme.finance

For support enquiries, please contact: support@enzyme.finance