Visor Finance FAQ on NFT Smart Vaults
In anticipation and increased interest on technical compatibility with the greater DeFi ecosystem, we have created a list of frequently asked questions that Visor has been getting from interested developers and community members. We will be adding more FAQ’s to this list as time goes on and common questions appear.
What is the simplest definition of a Visor Smart Vault NFT?
In essence, a Visor NFT is a user-controlled contract vault which holds assets, allowing them safe exposure to DeFi protocols without relinquishing custody.
I thought NFT’s were for art/collectibles…
NFTs typically contain distinctive information. These properties commonly manifest as art or in-game assets. Visor seeks to utilize NFTs capacity for uniqueness for different purposes, however. For example, we sees this capacity as an opportunity to expose a vaults history of past interactions with DeFi protocols, holding merkle roots of large sets of permissioned addresses, enhanced liquidity visibility at a network level and more.
Okay, sounds interesting. But where are Visor NFTs first being put to work?
We see self-custodied asset locking and collateral as immediate use cases.
Building on the UniversalVault standard introduced by Alchemist earlier this year, Visor NFTs allow users to lock assets to a number of simultaneous liquidity mining rewards programs. In terms of self-custodied collateral, imagine having the ability to sign nuanced permissions ahead of time for rich interactions in DeFi at the protocol level. An owner of a Vault could simply submit a signature for assets in the vault to become collateralized. Upon a liquidation event down the road, the ownership of the collateral could transfer seemlessly without extraneous transactions that relinquish custody ahead of time.
What is the Visor Factory and what does it do?
Our Visor’s factory allows for the introduction of updates and extensions to the Visor NFT without breaking compatibility across rewards platforms. New UniversalVault contract templates can be chosen for minting new versions of the Visor NFT. These can be brought about with Visor Improvement Proposals, through governance.
The Visor Factory is deployed here: https://etherscan.io/address/0xaE03233307865623Aaef76Da9ADe669b86e6F20A#code
How can an NFT vault be upgradeable? I thought an NFT was forever.
An immutable NFT will only go so far in an industry moving at the break neck speeds of DeFi. Visor wants you to keep your NFT with its unique ID and immutable characteristics, but it also offers a path for upgrades and extensions. Each upgrade will offer a simple migration of assets via web ui and each child NFT will contain pointers to its parent. Think of this as a “living smart vault”.
What’s the process of proposing upgrades?
Our smart vault factory has an ‘ownable’ admin. This admin is able to introduce new templates for upgrades and extensions to the Visor Smart Vault as well as set default behavior for ‘active templates’. Transitioning these rights to the community is among our top priorities. But before handover, we are gathering the best and brightest to chart the waters.
Visor is preparing the ship so get ready.
If upgrades are possible, how will platforms know that future Visor upgrades behave as originally promised?
Visor’s factory will always feature a default ‘active template’. This serves as the canonical, stable release of the Visor Smart Vault. While users may choose alternative templates to mint for different purposes, the canonical release will always be the default and officially upgraded only in consultation with industry leaders, ensuring default behavior will move in lock-step with industry standards.
How will a participating rewards program be compatible with Visor‘s NFT’s?
We are very eager to have projects both look into and start implementing their reward programs to be compatible with the UniversalVault standard that the Visor NFT is using. Our developers would love to discuss this process and begin the dialogue for what is needed to begin. It is actually quite easy! Please reach out to us on twitter or discord.
