From Crisis to Innovation: How SAIB Rescued Levvy Finance

In September 2024, @levvyfinance faced a serious challenge — a backend failure that left users unable to access their funds. It wasn’t just about fixing broken code; it was about restoring trust and confidence in the platform and reassuring a community that had put their faith in decentralized finance.

The disruption, caused by an external aggregator, put @levvyfinance on the brink of collapse. That’s when we stepped in. Referred by @Quantumplation (Pi, CTO of @SundaeSwap), our team leveraged its deep expertise in C#/.NET systems and Cardano development to not only rescue the platform but also reimagine its future.

This wasn’t just a fix—it was a transformation. We turned a crisis into an opportunity, restoring Levvy’s operations, enhancing its capabilities, and laying the groundwork for long-term stability and innovation. The collaboration demonstrated the strength of the blockchain community and the resilience of decentralized finance.

Initial Assessment

When we took over the project, we uncovered several critical issues:

• A dead backend and frontend with no documentation.
• A messy database relying on user-submitted transactions like a Web2 app.
• There is no sync with blockchain live states.
• Users’ funds are stuck in smart contracts.

Core Technical Issues

The lack of a proper blockchain indexer created severe operational problems:

• On-chain actions couldn't be detected.
• Loans that were repaid, borrowed, or foreclosed externally were invisible to the system.
• While funds remained secure on-chain, users had no way to access them.
• No real-time synchronization with the blockchain state.

The Rapid Response

In just one week, our team accomplished several critical objectives:

• Analyzed Levvy’s smart contracts for lending and NFTs.
• Built a blockchain indexer that tracks real-time on-chain data.
• Launched a recovery page for users to retrieve and service their loans.

Technical Solutions

The new indexer revolutionized the platform's operation by:

• Enabling real-time connection with smart contracts.
• Updating the database with live blockchain data on every block.
• Making transactions seamless and transparent.

Frontend Transformation

Our team successfully transitioned @levvyfinance's frontend to interact with the new backend while maintaining the familiar user interface. We replaced the unreliable GraphQL backend with a more stable REST API architecture. In just 3-4 weeks, Levvy was fully operational again.

Innovative Features

To improve user experience and platform efficiency, we implemented:

• A lend/borrow matching algorithm to address smart contract fixed fee issues.
• Loan splitting functionality allows users to break down larger loans (e.g., 1000 $ADA into 200 $ADA chunks).
• Smart matching system for small borrows, giving users more control over their lending decisions.

Enhanced User Experience

With real-time data integration, the platform now offers:

• Real-time statistics
• User notifications
• Activity feed tracking
• Improved transparency and user-friendly interface

Despite the successful recovery and enhancement of @levvyfinance, there were nuanced technical challenges that we had to address along the way. For example, when users send $ADA to the contracts, the validator hash integrates with their staking address, allowing them to retain staking control while keeping their funds secure within the contract.

Current Challenges and Road Ahead

However, operational challenges remain, and we strongly advised the @levvyfinance team to address these critical issues to ensure long-term stability:

• Messy Frontend: Without unit tests or proper QA, there’s a risk of user funds being jeopardized.
• No Testnet: The lack of a testnet limits the ability to safely develop and test future updates.
• Reliance on Old Backend Data: Dependencies on outdated data like token prices and metadata create a potential single point of failure, which could lead to another system collapse.

We’ve provided full disclosure and clear disclaimers to the @levvyfinance team, ensuring that our team at SAIB Inc. is not held liable for any future issues. While our intervention resolved the immediate crisis and reimagined their platform, addressing these operational gaps is crucial for their long-term success.

A New Chapter

Despite the challenges, we’re proud to have successfully revived @levvyfinance and set it on a path toward long-term growth. This achievement was made possible through collaboration, innovation, and the tireless dedication of both our team and @levvyfinance. Together, we turned a crisis into an opportunity to build something stronger and more resilient.

Special thanks to @Quantumplation for the referral and support that helped make this success story possible.

An Open Invitation to the Blockchain Community

We're proud to have helped @levvyfinance and we're extending our expertise to all blockchain projects in need. Whether you're building on:

• Cardano
• Bitcoin
• EVM chains
• Other blockchain platforms.

For those interested in exploring technical partnerships or seeking assistance, SAIB Inc. maintains a comprehensive technology stack available at saib.dev

?? Check us out at: https://saib.dev

Let's build a more secure and efficient decentralized future together!

A message from @levvyfinance:

Levvy's team is committed to the continued development of the new system. Ensuring user safety and ease of use for its users.??