[AutoLayer] LTIPP Application - FINAL




Applicant Name: Javier B. Thomas

Project Name: AutoLayer

Project Description: AutoLayer is an application designed for Liquid Restaking Tokens Finance (LRTfi) management on Arbitrum. With just a click, users can efficiently restake their assets across a multitude of LRT options, ensuring optimal yield conservation and compounding.

As the main gateway to LRTfi, AutoLayer empowers users to strategize and unlock the full potential of LRTs, presenting a comprehensive solution to maximize returns.

Team Members and Roles:

Javi B Thomas: CEO
Anxo Soto: CTO
Diana Diaz Reinoso: CDO
Katrina Reyes Abad: CMO

Dev Team:
Alex B. Ferrin: Front-end Lead
Javi Rodriguez: Full Stack Developer
Alex Sanchez: Full Stack Developer
Jose Maria De la Cruz: Blockchain Engineer

Marketing and Operations:
Alba Perez: Graphic Designer
Ian Frederik Olizon: Content Creator
Nel Vincent Nuñez: Community Lead
Brie Villar: Community Lead

Project Links:
Website: https://autolayer.io
Dapp: AutoLayer
Linktree: @autolayer's link in bio | Latest Products and socials | Linktree
Roadmap:Roadmap | AutoLayer
Audit: publications/audit_reports/PeckShield-Audit-Report-TortleNinja-v1.0.pdf at master · peckshield/publications · GitHub

Social Networks
Medium: AutoLayer – Medium
Twitter: https://twitter.com/AutoLayer
Facebook: AutoLayer
Youtube: https://www.youtube.com/@AutoLayer
Linkedin: AutoLayer | LinkedIn
TikTok: TikTok - Make Your Day
Instagram: AutoLayer (@autolayer_) • Instagram photos and videos

Telegram Channel: Telegram: Contact @AutoLayerPortal
Telegram Group: Telegram: Join Group Chat
Discord: AutoLayer

Contact Information

Point of Contact : Javi B. Thomas
Point of Contact’s TG handle: @javibth
Twitter: 0xjavi
Email: javi@autolayer.io

Do you acknowledge that your team will be subject to a KYC requirement?: Yes, we acknowledge that our team will be subject to a KYC requirement.

#SECTION 2a: Team and Product Information

AutoLayer, formerly known as Tortle Ninja, as the premier LRTfi hub on Arbitrum. Offering access to a wide array of assets, liquidity pools, farms, and vaults/strategies, totaling around 800 assets, 400 liquidity pools, 50 farms, and over 100 vaults/strategies, AutoLayer now focuses on optimizing Liquid Restaked Tokens (LRT), Liquid Staked Tokens (LST), AVSs, operators, and incentives.

In its latest iteration, AutoLayer transforms into a sophisticated interface within the EigenLayer ecosystem. It efficiently manages Liquid Restaked Tokens (LRT), Liquid Staked Tokens (LST), AVSs, operators, and other ecosystem incentives.

Acting as a gateway to LRTfi, AutoLayer facilitates the development of strategies for optimal LRT utilization. Integrated seamlessly with major DeFi platforms including UniSwap, SushiSwap, Balancer Labs, Camelot DEX, Yearn Finance, and GMX.

AutoLayer was deployed on Arbitrum on August, 2023, with V1 deployed and V2 in preparation as outlined in our roadmap (Roadmap | AutoLayer).

We target DeFi users interested in LRTfi and LSTfi, aiming to simplify asset utilization, optimize risk-reward ratios, and enhance user experience. Our incentive system adds an additional layer of rewards to maximize asset utilization within the AutoLayer ecosystem.

Autolayer is the spin-out of Glue Digital, a software company founded in 2010 by Javier Blanco Thomas. With a decade of experience, Glue Digital has led notable projects in security, cryptography, e-commerce, and mobile solutions, earning prestigious accolades from organizations like the German Design Council, Awwwards, Red Herring, and Laus. Serving Fortune 500 clients globally, Glue Digital has developed products used by millions in cryptography, security, and retail sectors. Glue Digital provides a robust foundation for Autolayer’s dynamic evolution and innovative pursuits.

AutoLayer’s 14-member team and growing, comprises 6 developers, 2 in Strategy and Operations, and 6 in Marketing and Design.

  • CEO Javier: Graduated from Universidad Complutense de Madrid, founded Glue Digital in 2010, overseeing its growth and software development for companies like Zara, Securitas, AXA and more.
  • CTO Anxo: Graduated from Universidade da Coruña, played a key role in Glue Digital’s growth since 2014, known for creating frameworks and security protocols adopted by Carrefour, Securitas, and PayPal.
  • CDO Diana: Graduated with a degree in Advertising from Universidad de Vigo, received awards like Awwwards and German Design Council, collaborating with Javier since Glue Digital’s inception.
  • Alex, the Front-end Dev: Graduated from ELISAVA in Barcelona, part of Glue Digital from the beginning.
  • Katrina, the CMO: Holds a computer science degree from De La Salle Araneta University, experienced in the DeFi sector, overseeing marketing operations since Q2 of 2022.

What novelty or innovation does your product bring to Arbitrum?
AutoLayer presents a pioneering concept as the future LRTfi marketplace on Arbitrum. Our platform offers users the ability to engage with a diverse array of Liquid Restaking Tokens (LRTs), expected to undergo substantial evolution over time. Positioned as the meta DEX for LRT analysis, trading, and strategy development, AutoLayer provides users with heightened insights into the LRTfi landscape. Our goal is to facilitate ease of use and informed decision-making, empowering users to optimize their experience within the newest innovation of DeFi, LRTfi.

Is your project composable with other projects on Arbitrum? If so, please explain:
Absolutely, our project is designed to be highly composable with other projects on Arbitrum. We have established seamless integrations with key platforms including Balancer Labs, GMX, UniV3, Sushi, Camelot and more. Also, our integration extends to EigenLayer, Renzo Protocol, Kelp DAO, and all LRT issuers within the ecosystem. This strategic approach ensures not only interoperability but also unlocks a multitude of synergistic opportunities for mutual growth and success within the Arbitrum ecosystem.

AutoLayer V1 integrations:

  • LRT ecosystem: We collaborate with EigenLayer, Kelp DAO, Renzo Protocol, Uniswap, Balancer, Paraswap, Camelot (through ParaSwap), and GMX. Our platform features an intent-based engine that seamlessly connects to the majority of liquidity available on Arbitrum. This integration enables users to access the best prices and optimize gas costs efficiently.

AutoLayer V2 integrations:

  • LRT ecosystem: Other protocols deploying LRTs on Arbitrum.

AutoLayer, although not directly engaged in swaps, mints, or perps, utilizes an intent-based engine to connect with various partners and secure the best market prices. It strategically selects the optimal route for trading. Moreover, in terms of strategies, AutoLayer consolidates transactions, combining multiple transactions for greater efficiency.

Do you have any comparable protocols within the Arbitrum ecosystem or other blockchains?
To our knowledge, none to date.

How do you measure and think about retention internally?
We measure it through Dune Analytics and Google Analytics. On Google Analytics, we track the number of users and their behavior, including navigation, time on site, and actions taken. We have set up specific markers for our pages, buttons, and actions to monitor their performance. Additionally, we rely on Dune Analytics to track active wallets and ensure redundancy. Furthermore, we conduct numerous user testing sessions with our community to ensure a well-understood UX.

We will gather all relevant usage metrics through queries using the OBL Data Reporting model:
Daily Active Users
Daily User Growth
Daily Transaction Fee
Daily ARB Expenditure and User Claims
Incentivized User List & Gini
Trading Volume
List of Traders
Usage Breakdown

Do you agree to remove team-controlled wallets from all milestone metrics AND exclude team-controlled wallets from any incentives included in your plan:

Yes. We acknowledge and agree to remove team-controlled wallets from all milestone metrics and to exclude them from any incentives included in our plan.

Did you utilize a grants consultant or other third party not named as a grantee to draft this proposal? No.


Is the protocol native to Arbitrum?: Yes, AutoLayer is Arbitrum Native.

On what other networks is the protocol deployed?: AutoLayer is only deployed on the Arbitrum network.

What date did you deploy on Arbitrum mainnet?:
AutoLayer, formerly known as Tortle Ninja, was deployed on the Arbitrum network in August 2023. While AutoLayer contracts were deployed on March 1, 2024, our latest version was deployed on March 12. The contract address can be found here: https://arbiscan.io/address/0x8899b5139155f9ee070597000149f71a4a969da5

Do you have a native token?: Yes, the development of our native token is part of our roadmap, and it is scheduled to be launched around April 25th.

Current Incentivization: How are you currently incentivizing your protocol?

Currently, our protocol incentivizes users through a points system based on trading volume. Users earn 1 point for every dollar in value traded. These points will be converted into tokens during a future airdrop. All points are securely recorded on a smart contract, which will serve as an oracle for the distribution process. Additionally, we have plans to introduce a referral program soon, offering incentives provided in the form of points.

Contract: https://arbiscan.io/address/0x8899b5139155f9ee070597000149f71a4a969da5

Have you received a grant from the DAO, Foundation, or any Arbitrum ecosystem related program? No, we have not received a grant from the DAO, Foundation, or any Arbitrum ecosystem-related program.

Protocol Performance:
As AutoLayer is a rebranding of Tortle Ninja, we currently do not have specific KPIs established for AutoLayer. The protocol has only been launched for a few days, so our metrics are relatively limited. However, we have observed a daily trading volume of approximately $20,000 since our launch. Additionally, our rebranding announcement garnered over 8,6K impressions on Twitter https://twitter.com/tortle_ninja/status/1767177472410341720, and our daily posts are averaging over 1,000 impressions https://twitter.com/AutoLayer/status/1767903438522679342.

As Tortle Ninja, we conducted approximately 11,000 transactions between October and January.

You can find more details about our transactions on Dune Analytics by following this link: link.

Additionally, we have facilitated over 40,000 embedded transactions.

We also have made about 13,5K website visitors since our launch as Tortle Ninja.

Protocol Roadmap:
Roadmap: AutoLayer V2.
We will introduce a new layer for information and automation aimed at streamlining, automating, and securing all ecosystem interactions, elevating EigenLayer and AVSs to new heights.

Virtual Operator and Vaults creation

In AutoLayer, users have the capability to create, configure, and run a Virtual Operator, which is designed to validate various AVSs. Once a user creates an Operator, AutoLayer initiates a qualification process for all involved AVSes at a minimal cost. In cases where an AVS has reached its cap, users attempting to create an Operator for it will be promptly notified. A nominal amount of ETH may be utilized to cover the infrastructure required for initiating the Operator. While the vaults themselves may have distinct rules for automation, autocompounding, opt-out procedures, and more, we manage all the infrastructure aspects. After the Operator is launched, any user can allocate funds to it.

AVS Vault Manager

The Vault Manager serves as the platform where users can allocate funds to our Operators. Each Operator within AutoLayer is designed to validate a unique set of AVSes, resulting in different products characterized by varied yields and risk profiles. These vaults will aggregate both illiquid and liquid assets, and to enhance yield, diverse strategies will be employed. These strategies range from auto-compounding liquid rewards to transforming illiquid assets into liquid ones through the creation of wrapped versions. Additionally, the Vault Manager will assess profitability, displaying realistic dollar-based APRs, thereby measuring incentive inflation. Operators within a vault have the flexibility to adjust the AVS composition based on the information and automations provided by AutoLayer.

AutoLayer V2 Features:

AVS Scoring

AVSs are poised to become the linchpin of yields in the current crypto landscape, exerting a significant influence on the trajectory of the DeFi industry. Evaluating their performance is paramount, underscoring the importance of auditing AVSs. For every AVS on AutoLayer, we will generate a risk score based on two crucial metrics:

  • Professional Operators TVL: This metric will gauge the involvement of institutional and professional Operators (such as P2P, Ankr, Nethermind, etc.) in an AVS by assessing the amount they have staked on it. This measurement generates a risk profile based on factual data from funds deposited by professionals, rather than subjective opinions.

  • Community TVL: This metric will quantify the level of support an AVS receives from retail investors, with insight into the amount of retail money backing it. This also contributes to the creation of a risk profile for the AVS.

Sudden changes to these risk scores can help our users stay informed.

LRT Scoring

LRTs can function as collateral in markets, allowing users to obtain leveraged positions through looping. While this feature holds considerable market potential, it also carries specific risks. An extreme event leading to a sudden depeg could initiate a cascade of automatic liquidations, potentially resulting in the creation of bad debt in money markets.

Despite these risks, transparency is a hallmark of DeFi markets. This transparency allows us to assess the amount of collateral in money markets relative to their Total Value Locked (TVL), offering insights into the rehypothecation level of an asset, particularly within the DeFi space. This information contributes to a risk/reward profile, empowering users to make more informed decisions about their purchases.

Compounding and Liquification

When it comes to rewards, the EigenLayer (EL) ecosystem will share both liquid and illiquid assets. Our vaults will have two functions:

We can auto-compound the results, obtaining AVS tokens/incentives, converting them to ETH, and reinvesting them.

As Points are non-transferable, our vaults can accumulate points until the next Token Generation Event (TGE), allocate each user’s share, and mint a wrapped version of all their reward tokens.

AutoLayer will not create markets for these tokens, but users can. Additionally, users will have the ability to mint and burn these tokens at any moment. During a TGE, we will enable every user to claim their EL/AVS tokens with a 1:1 ratio by burning the wrapped versions of said tokens.

Slashing Tests and Bounties

We will create a bounty system wherein if a user identifies that a slashing condition is met, instead of directly claiming the bounty, they can trigger an auto-delayed process where they can earn the same rewards with additional bonuses. This contract will play a crucial role in safeguarding our users from slashing by halting the validation of the AVS before the slashing event occurs. The same contract will also execute the slashing to prevent the possibility of double-dipping. Stakers will be charged a small fee to contribute to the bounty fund.

Audit History & Security Vendors:
We underwent an audit by Peckshield as Tortle Ninja. The audit report can be found here: PeckShield Audit Report - TortleNinja. We deployed our contracts 3 days ago and are currently in the process of being audited, with audits scheduled at least twice in the coming months.

Security Incidents:
To date, there have been no security incidents.


Detail the requested grant size, provide an overview of the budget breakdown, specify the funding and contract addresses, and describe any matching funds if relevant.

Requested Grant Size: 100,000 ARB

At our token launch, scheduled for April 25, we will start the incentives, quadrupling the Arbitrum incentives.
100.000 ARB Tokens.
400.000 LAY3R Tokens.

The distribution of total tokens to our users will be based on their transaction volume. This process will be conducted manually, with a daily limit set at approximately 1190 ARB and 4800 LAY3R tokens per day over the 12-week program duration. Tokens will be distributed manually on a daily basis. Furthermore, no single wallet will be eligible for more than 1% of these incentives, and suspicious wallets will be excluded from eligibility.

Funding Address: 0x79c4B1D2c4c9c27B902D2eb7F0d94D4e7C4f3106

Funding Address Characteristics: Institutional grade physically secured multisig wallet. All quantities are insured.

Treasury Address: 0xCeF149E49bC56aa3834CE9089FB5d4c9F929A62e

Contract Address: 0x8899b5139155f9Ee070597000149F71a4A969Da5


Clearly outline the primary objectives of the program and the Key Performance Indicators (KPIs), execution strategy, and milestones used to measure success. This helps reviewers understand what the program aims to achieve and how progress will be assessed.

The grant’s objective is squarely focused on assisting us in bootstrapping the protocol to acquire and retain users, offering them an additional incentive to utilize the platform. Our primary metric is transaction volume; at present, we do not track Total Value Locked (TVL), but rather channel volume through various protocols. Serving as a hub, our aim is to acquaint users with our interface and enable them to engage with our automated processes and layers of supplementary information.

Aside from volume, our main Key Performance Indicators (KPIs) are:

  • Daily Active Users.
  • Daily User Growth.
  • Daily Transaction Count.

Our target goal is to reach our first consistent 1,000 daily active users by the end of the incentive program. To achieve this, incentives will be capped daily, and there will be a maximum amount of incentives per wallet. For hardcore users exceeding that limit, there will be another program of incentives based on referrals, which will complement this one.

This incentive strategy will happen at the same time we are launching our native token, so we can boost the momentum of the 2 events, as we are about to start significant marketing efforts.

Execution Strategy: AutoLayer utilizes a proxy contract. Each time funds pass through it, we tally the points that will be added to the user’s wallet. If the grant is approved, we will establish another contract that, based on the given volume, will distribute the ARB incentives (ARB+LAY3R) to the user wallet. This process is illustrated in the figure below.

This mechanism will incorporate various security measures to prevent economic exploits or the concentration of incentives. Any wallet involved in any transaction related to the DAO or any of its members will be blacklisted, rendering it ineligible to receive incentives, points, or tokens. We could collaborate with the Arbitrum Foundation to ensure the proper enforcement of this policy.

What mechanisms within the incentive design will you implement to incentivize “stickiness” whether it be users, liquidity or some other targeted metric? As we have a daily limit users will be

Specify the KPIs that will be used to measure success in achieving the grant objectives and designate a source of truth for governance to use to verify accuracy.

Drawing inspiration from GMX, AutoLayer should aim for 1,000 users per day, constituting our target goal. Employing a similar approach regarding volume, we aspire to achieve a daily volume of 1 million. To validate these targets, we are committed to providing Dune Analytics data and implementing any necessary policies to ensure the authenticity of these metrics. Additionally, we will confirm the proper distribution of incentives within the community.

Our main Key Performance Indicators (KPIs) will include the following:

  1. Daily Active Users: This metric is defined by wallets interacting, at least once, with our proxy smart contract. We aim to have at least 1.000 active users per day,

  2. ** Daily User Growth. ** To ensure the growth, aside from the incentives program we will start a considerable marketing efforts, raffles, comarketing announcements, paid media campaign and social media marketing

  • Daily Transaction Count: On LRT users dont do that many transactions, every user makes 1-2 per day. So we aim to have at least 2.000 daily transactions at the end of the program, as incentives are capped we will incentivize user to return over time.
  1. Daily Volume: Quantified as the amount of funds flowing through our proxy smart contract, measured in USD. Our aim is to achieve at least a $1 million daily trading volume. Daily incentives will provide approximately 1,000 ARB per million in volume or 0.001 ARB+0.004LAY3R per dollar traded. To prevent wash trading, we will cap daily incentives at $50,000 traded volume per user. Thus, the maximum daily incentives per user will be approximately 50 ARB and 200 LAY3R tokens. Through this strategy, we aim to maintain a healthy daily trading volume of around 1 million throughout the program.

  2. Volume by Market: AutoLayer, operating with 20-30 assets at full capacity, will provide detailed data to analyze the distribution of volume across different markets.

We will also analyzing
Daily Transaction Fee
Daily ARB Expenditure and User Claims
Incentivized User List & Gini
Trading Volume
List of Traders
Usage Breakdown

Grant Timeline and Milestones: We suggest adopting a timeframe of approximately 12 weeks, structured around four key milestones that AutoLayer can utilize to assess performance. These milestones are as follows:

  1. Milestone One: Achieving 250 daily users and a daily volume of 250K .
  2. Milestone Two: Attaining 500 daily users and a daily volume of 0.5M million.
  3. Milestone Three: Reaching 1000 daily users and a daily volume of 1 million.

At the end of each cycle, any remaining undistributed tokens will be carried over to the next cycle. If we fail to achieve the desired results by the end of any milestone, we will double our own incentives for the next milestone.

Our distribution model includes a daily limit of approximately 1190 ARB and 4800 LAY3R tokens, allocated per day. These tokens will be distributed among users on a first-come, first-served basis, with each user limited to 50 ARB and 200 LAY3R per day. Any unused tokens will be rolled over to the next milestone, providing additional incentives.

How will receiving a grant enable you to foster growth or innovation within the Arbitrum ecosystem?

Certainly. At full capacity, AutoLayer becomes the ultimate interface for secure and well-informed Liquid Restaked Token Finance (LRTfi). In the heart of DeFi, Arbitrum positions LRTfi as the central hub for yield in this cycle. AutoLayer facilitates user-friendly interaction with these new DeFi protocols, offering exclusive information such as AVS Scoring and rehypothecation information on LRTfi, information not available elsewhere. Understanding LRTfi is crucial for the success of the current generation of DeFi users, aligning with our mission to empower users in navigating this landscape.

Receiving a grant will enhance user interaction by covering all gas expenses, attracting early adopters and newcomers, and providing a more convenient experience for our users.

Do you accept the funding of your grant streamed linearly for the duration of your grant proposal, and that the multisig holds the power to halt your stream?

Yes, we agree to accept the funding of our grant streamed linearly for the duration of our grant proposal, and we acknowledge that the multisig holds the power to halt our stream.

SECTION 5: Data and Reporting

OpenBlock Labs has developed a comprehensive data and reporting checklist for tracking essential metrics across participating protocols. Teams must adhere to the specifications outlined in the provided link here: Onboarding Checklist from OBL .

Along with this list, please answer the following:

Is your team prepared to comply with OBL’s data requirements for the entire life of the program and three months following and then handoff to the Arbitrum DAO? Yes, our team is fully prepared to comply with OBL’s data requirements.

Does your team agree to provide bi-weekly program updates on the Arbitrum Forum thread that reference your OBL dashboard? Yes, we will establish a Dune dashboard and provide bi-weekly updates, similar to what we currently do for our investors, to showcase the protocol’s progress over time. Typically, this information will be compiled on a Notion page, featuring links to Dune and data from other sources such as Google Analytics and HubSpot.

First Offense: *In the event that a project does not provide a bi-weekly update, they will be reminded by an involved party (council, advisor, or program manager). Upon this reminder, the project is given 72 hours to complete the requirement or their funding will be halted.

Second Offense: Discussion with an involved party (advisor, pm, council member) that will lead to understanding if funds should keep flowing or not.

Third Offense: Funding is halted permanently

Does your team agree to provide a final closeout report not later than two weeks from the ending date of your program? This report should include summaries of work completed, final cost structure, whether any funds were returned, and any lessons the grantee feels came out of this grant. Where applicable, be sure to include final estimates of acquisition costs of any users, developers, or assets onboarded to Arbitrum chains. (NOTE: No future grants from this program can be given until a closeout report is provided.) Yes.

Does your team acknowledge that failure to comply with any of the above requests can result in the halting of the program’s funding stream?: [Y/N] Yes.

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Hello @0xjavi ,

Thank you for your application! Your advisor will be SeedLatam Gov @SEEDGov

Please join the LTIPP discord and ping your advisor in the general chat so they can create a new channel and start communicating with you.

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Let’s get to work!. We are waiting for you at discord

Hello, discord link doesnt work for me can you please send again?

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Hello, we cannot change the title anymore, please consider our application as finished and complete.

Hey there this proposal has been updated to show that it is FINAL. All the best!

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