Flash Borrow
Last updated
Last updated
Flash borrow allows users to borrow A to interact with integrated protocols, to return B as collateral, maximizing composability.
This simplifies the looping process, position rebalancing, and minimizes gas fees.
In flash loans, users can borrow liquidity from lending pools for any arbitrary use and return the borrowed liquidity without any fee within one transaction. The lending pool’s token is guaranteed to remain unchanged after the transaction.
On the other hand, flash borrow allows users to manage their positions automatically using the available liquidity from the lending pools. However, the users’ position must be healthy, and the lending pool’s token is not guaranteed to remain unchanged after the transaction.