Can you imagine a decentralized Steam? Prom is the first multifunctional P2E platform without any blockchain analogs and can only be compared to this famous platform.
For instance, Prom offers renting and mortgage options. To understand how they work, you need to know what makes collateral-free loans and secure mortgages real. So, let’s learn about Safe Vaults.
How it Works
Wallets
To understand what a Safe Vault is, let’s remind ourselves about common blockchain wallets. Most of them have unlimited options for users to keep and transfer their assets. A wallet consists of two keys, a public and private one. The public key looks like an address and can be shared with anyone to receive funds. The private key, in its part, is a randomly generated secret number the owner uses to access their wallet and make transactions. Thus, it is important to keep the lid on such data.
Prom Safe Vault is a GnosisSafe-based smart-contract type of wallet. Consequently, it is more sophisticated. On the one hand, it can still be used as an ordinary wallet. On the other hand, it has limited functions controlled by smart contracts that prevent thefts of assets at renting, lending, and mortgages.
GnosisSafe
According to the official definition, GnosisSafe is a smart contract wallet running on Ethereum that requires a minimum number of people to approve a transaction before it can occur. Thanks to the formal verification of each component, it is highly safe and regarded as the highest security standard for Ethereum-based protocols.
The Innovation
Prom explored GnosisSafe and adapted its solutions to GameFi. As a result, we created Safe Vaults: smart contract wallets whose private keys are fully owned by borrowers. Thus, they can be used without any third parties, including our team, involved.
Safe Vault’s Advantages
NFT owners can conduct any operations in a risk-free way. They can trade, exchange or transfer their assets as they wish. Meanwhile, borrowers can operate assets with limited functionality: only actions that meet the predetermined conditions are validated.
For instance, a person who wants to rent an NFT gets a Safe Vault, and borrows an asset for a predetermined amount of time to play and earn. However, without the ability to transfer it to other wallets, resell, exchange, or burn it. When the gaming period is over, the asset will be automatically transferred back to its original owner. This is how Prom Safe Vaults contracts prevent thefts.
SafeVaults can automatically identify the original NFT owner and separate them from the borrower to set required restrictions. For instance, some games require the use of several assets at the same time. So, if a borrower owns their assets, they can be transferred to the Safe Vault and won’t be detained.
Safe Vault’s Potential
The Ethereum community has already distinguished all the smart wallets’ advantages over conventional wallets. For instance, it can be proven with Vitalik Buterin’s EIP4337, an account abstraction proposal that prevents consensus-layer protocol changes by introducing a higher-layer pseudo-transaction, UserOperation, that is sent by a user to a separate mempool.
Thus, this solution enables users to use smart contract wallets containing arbitrary verification logic, secure their privacy with no direct communication addresses needed, and avoid trust assumptions.
Considering all the benefits of Safe Vaults, they can be gainful for DeFi. For instance, they may be used for margin trading: when users are able to get collateral-free loans of all EVM-compatible tokens, such as ERC-20 and BEP-20.
Conclusion
In this article, we’ve briefly explained how Safe Vaults work and covered some of their use cases in GameFi and DeFi. Meanwhile, we believe in the future adoption of smart contract wallets because, thanks to their efficiency and potential, they are likely to overwhelm conventional wallets. If you have any questions, don’t worry: we’ll answer them in upcoming articles.
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