CCIP: Re-Indexing and Re-weighting
The above chart shows the re-indexing and re-weighting steps required to update the smart contracts. This process allows us to update the index token on a fixed interval using custom trading strategies.
Re-Indexing and re-Weighting Steps
The smart contract update will begin from a Cronjob utilizing an API. It's important to note that the smart contract can only be accessed once within a set interval.
Using the Oracle service (Chainlink + our node), we send an updated list of assets that is transparent and publicly available at any time.
The Factory contract requests the portfolio value by the assets stored on the main chain (Ethereum), and once obtained, the portfolio value is sent.
In return, the other chain provides instructions to the Factory contract on how it should rebalance its assets.
Tokens available for swapping are transferred to Uniswap alongside the specified exchange pairs necessary to execute the intended trades.
The swaps occur, and the newly acquired tokens are sent to replenish the vault.
On the other chain, the swap amounts are re-calculated, facilitating the exchange of tokens. This process ensures that the contracts on both chains are balanced, accurately representing the index tokens by the underlying assets.
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