Technical Architecture

Rumi Finance's technology architecture has been meticulously crafted to offer a comprehensive DeFi platform catering to a diverse array of users, ranging from individual retail investors to sophisticated institutional clients. The platform's architecture encompasses various interconnected components, each playing a vital role in ensuring a smooth and efficient user experience. These components include: Web3 Frontend, Smart Contract Suite, Keeper Bots, Kubernetes Node.js - GraphQL API Backend, Cross-chain Compatibility

By integrating these components into a cohesive system, Rumi Finance's technology architecture effectively addresses the complexities of the DeFi ecosystem, providing a versatile and secure solution for a wide range of users.

The Rumi Protocol emphasizes a modular design, prioritizing security, risk management, and scalability. This well-structured architecture facilitates effortless integration with numerous DeFi protocols while boasting cross-chain compatibility, effectively harnessing the most promising opportunities in the DeFi ecosystem.

The following diagram gives a high level overview of how our system architecture looks.

Web3 Frontend: The frontend of the Rumi Protocol utilizes cutting-edge web technologies, including React, and incorporates open-source libraries to deliver a highly responsive and intuitive user interface. This allows for seamless interaction with blockchain elements, providing users with an exceptional experience as they navigate and manage their DeFi portfolios.

Smart Contract Suite: Rumi's smart contracts employ a modular and extensible design, facilitating effortless integration of new protocols and strategies. The primary components encompass Investment Vault, Controller Contract, Yield Strategies, Lending Module, and Oracle Interfaces.

Keeper Bots: Keeper Bots undertake the critical responsibility of maintaining the platform's strategies, managing leverage, rebalancing positions, and executing other essential tasks. The infrastructure comprises a combination of on-chain and off-chain Keeper Bots.

Kubernetes Node.js - GraphQL API Backend: The API backend is entrusted with aggregating data from a multitude of sources and providing endpoints for frontend applications, risk management systems, and additional services. We have engineered a highly scalable backend that can dynamically adapt to our evolving needs and usage.

Risk Framework: Rumi's robust risk framework integrates ETL pipelines, risk management functions, an alerting framework, and real-time monitoring dashboards, guaranteeing the platform's security and stability.

AI and Machine Learning: The platform harnesses the power of AI and machine learning for predicting optimal liquidity ranges, trend forecasting, and anomaly detection, contributing to superior performance and comprehensive risk management.

Portfolio Optimizer: Our state-of-the-art optimizer continuously evaluates the allocation of each deployed strategy on a risk-adjusted basis. The optimizer's output provides allocation targets for our vaults, guiding the optimal performance of our strategies.

Backtesting Framework: Our sophisticated framework empowers us to safely validate and deploy strategies into production. By gathering, analyzing, and applying quantitative methodologies, we can rigorously test, validate, and optimize strategies before presenting them to investors through our smart contracts.

Off-Chain Yield Aggregation: We have developed an off-chain yield aggregator that enables the creation of a cross-chain aggregated product. This allows investors to diversify into different chains and protocols in a single investment, and for us to manage the cross-chain allocation efficiently, without relying on potentially unsafe on-chain bridging strategies.

Lending Module (Prime): Rumi Finance's lending module is thoughtfully designed to address the requirements of both lenders and borrowers (Strategy Investors). In Rumi Finance, we offer the opportunity to take undercollateralized leveraged positions, enabling investors who deposit into our strategies to maximize returns by borrowing funds from our Lending Module. For more information, explore our comprehensive Lending Module documentation.