The Definitive Defly Guide (Beta Edition)

Learn what Defly is & how to navigate the beta like a pro

Feb 7, 2022

Welcome back to the club, gov!

In this definitive guide, we’ll cover what Defly is, the fee structure, and how to navigate the UI and swapping functionality like a pro.

To make this guide easier to navigate, we’ve included a table of contents below. If there’s a specific topic you want to search, you can use the keywords below:

What is Defly?
Fee Structure
Tinyman Liquidity Pool Token Acquisition
How to Sign Up for the Beta
How to Connect Existing Wallet
How to Create New Wallet
How to Navigate the Pairs Tab
How to Swap
How to Navigate the Transactions Tab
How to Navigate the Wallet Tab

That’s a lot of content, so we’re going to dive right in.

What is Defly?

Defly is Algorand’s first fully functional DeFi wallet mobile app compatible with both iOS and Android. Simply put, Defly’s initial use case will be to make trading as seamless and user-friendly as possible within the Algorand ecosystem all directly from users’ wallets.

They will attempt to accomplish this through two main features: a slick UI experience optimized for mobile & an aggregation of all the DEXs across the ecosystem to provide users with the best price possible on their swaps. As more and more DEXs launch on Algorand’s mainnet, users (particularly traders) will need to determine which protocol’s pools have the most liquidity and the lowest prices/fees. This could be a potential huge time suck, and as we all know time is money. Defly will save you that time, energy, effort, and ultimately money.

Defly will have many amazing features built directly into the app that will allow users to:

Link existing Algorand wallets (including the storage of your private keys locally with full encryption) within their app
Monitor their portfolio & its value in real-time
View trading charts across ALGO/ASA and ASA/ASA pairs
- This will include charting capabilities such as candlesticks & indicators (i.e. moving averages)
Automatic opt-in and redemption of excess assets on swapping
Review and sort ASA stats such as supply, market cap, circulation, liquidity, volume, and more
Review and sort liquidity pools stats such as swaps, liquidity, total volume, age, and more
Receive price alerts via email

We haven’t even touched on the best part. The above is just the beginning for Defly! This year alone the dev team plans to implement the following features:

Price alerts via push notifications
Limit orders & target prices
Support for cross-chain bridges
Support for multiple swap protocols
Advanced portfolio stats

And if all this wasn't enough, the Algorand Foundation recently announced they’re going to partner with Defly’s partner company Blockshake to help develop their product. They dubbed Defly “the Algorand DEFI wallet app, a mobile crypto trading app maximizing the user experience of decentralized exchanges”.

If you missed it, read it again, gov. “THE” Algorand DEFI wallet. That’s a pretty strong endorsement from the Foundation if you ask us. We’re excited to see how Blockshake, the Foundation, and the community help evolve this project this year starting with their final production app release in April later this year.

Fee Structure

The fee structure on Defly is a bit different and revolves around their DEFLY token. Essentially, the more DEFLY a user has the less their fees become. However, to get the lowest fees possible a user must provide liquidity to the ALGO/DEFLY LP on Tinyman. The liquidity pool (LP) tokens users receive in exchange for providing liquidity unlock the lowest fees possible on the platform.

Another added benefit to holding DEFLY within your Defly wallet is the ability for users to pay fees in DEFLY instead of ALGO. This is an underrated feature in our opinion. Any platform that provides users with an option to hold onto their ALGO is doing it right.

This is all best explained by reviewing their fee schedule:

Level 0: 0.10% paid in ALGO, min 0.01 ALGO (if no $DEFLY in wallet)
Level 1: 0.05% with $DEFLY in wallet, fee paid in $DEFLY
Level 2: 0.03% with $DEFLY and LP tokens (min 50 ALGO+DEFLY in LP)
Level 3: 0.00% with $DEFLY and LP tokens (min 1000 ALGO+DEFLY in LP)

In addition to the above fees, users are charged an additional 0.3% to cover Tinyman’s fees for LPs incentives and their treasury. With that being said, if you provide liquidity within the ALGO/DEFLY Tinyman LP the fees you collect from that can help off-set all the above fees mentioned above.

Gov Tip: Note it's not enough to have the Tinyman LP tokens within the wallet to unlock Level 2 or 3. You’ll also need to hold DEFLY in your wallet as well.

Tinyman Liquidity Pool Token Acquisition

For the purposes of this guide, we’re going to assume users will want to capitalize on at least Level 2 of the fee structure (0.03%), and to do so involves users interacting with Tinyman and the DEFLY/ALGO liquidity pool. The first part of this guide will review this process.

If you’ve already acquired Liquidity Pool tokens from Tinyman’s DEFLY/ALGO pool or you have decided to use Defly at a lower level, you can skip to ‘How to Defly: Beta Review Sign-Up’ below. You will be able to acquire the DEFLY token directly on Defly itself, so you can skip Tinyman completely. But do note you will likely pay more in fees if buying DEFLY directly on Defly itself.

Step 1: Swap ALGO for DEFLY on Tinyman

Navigate to Tinyman’s swap section here, and then initiate a swap between ALGO and DEFLY based on the fee tier you’d like to participate in. Reminder that providing 50 ALGO+DEFLY in the LP is the minimum to unlock the 0.03% fee tier. After you input the amount of ALGO you’d like to swap to DEFLY, press ‘Swap’.

Remember to buy some extra DEFLY to hold in your wallet to pay for fees as well:

Once you’ve signed the transaction, the swap will be complete. Remember to claim your excess DEFLY:

Ah how we can’t wait to have this automated on Defly…

Step 2: Select Add to the DEFLY/ALGO Pool

Navigate to Tinyman’s analytics page here, and then click the ‘+’ sign next to the DEFLY / ALGO liquidity pool (LP).

Step 3: Add to the ALGO / DEFLY LP

On the next screen, input the amount of ALGO / DEFLY you want to stake in the LP. You will first need to opt-in to the LP token asset before doing so:

After you’ve opted into the LP token, select ‘Add Liquidity’:

Then click confirm supply to initiate signing the transaction with your wallet:

And don’t forget to redeem your excess LP tokens:

How to Sign Up for Beta

Step 1: Sign up for Beta Access

You first need to sign up for the Beta by providing your Apple or Google ID within the official Defly sign-up form here:

Note that access won’t be immediately granted in most cases and it could take up to 24 hours to receive an invite to the Beta. It took us ~2 hours to receive our invite.

Step 2A (iOS only): Download TestFlight

If you’re on iOS, you will receive your invite to the beta through an app called TestFlight which you can download here. While you wait for your email confirmation, you can download the app and once you receive your email confirmation you will be able to download Defly from within TestFlight.

Step 2B (Android only): Download Defly Beta App

We weren’t able to test this process out on Android, but according to Defly Android users won’t receive a confirmation email they’re in the Beta. Additionally, they won’t need to download TestFlight. Instead once they have access to the Beta, they can download the app here through the same Google ID they used to sign-up in the form from Step 1.

Step 3: Create a New Wallet for Beta Testing

In case you skimmed over our disclaimer (we won’t judge), we wanted to remind you again that participating in this beta comes with more risks than usual as Defly hasn’t completed it’s security audit yet (set to be complete by April launch).

Due to this, we advise extra caution when connecting your wallet (especially if you plan to import your private keys) and we’d recommend you create an entirely new wallet for Beta testing. You can do this through the Algorand official Mobile app or My Algo Wallet.

If you used Tinyman to provide liquidity and purchase DEFLY, we’d recommend transferring over both the LP tokens and a bit of extra DEFLY to cover transaction fees along with a little bit of ALGO.

Remember to always be safe rather than sorry with anything in DeFi.

Step 4: Launch Defly!

Once you have been granted access to Defly and have created a new testing wallet, open the app and dive in!

How to Connect Existing Wallet

Step 1: Import Wallet

Once you have the Defly Beta app open, navigate to the ‘Wallet’ tab and click ‘Import existing wallet’:

Enter the address of the wallet you want to import by either scanning the wallet QR code or inputting it manually. Name the wallet and select ‘Import Wallet’:

Step 2: Import Private Keys

After Step 1 your wallet will be imported into Defly, but it will be in a view only mode. To begin trading, you’ll need to import your private keys into Defly. Deftly assures users private keys aren’t shared with their app, but instead are saved locally on your device (i.e. through Apple’s Keychain).

To import your private keys, press the menu button in the top left:

Then select ‘Set private key’:

Enter your private keys on the following screen. Once entered you can confirm your private keys have been accepted two different ways. The key icon below your address name will now be green and there will also be a notification at the bottom of the screen:

How to Create New Wallet

If you prefer to create a new wallet, you can do that directly on Defly as well. Start this process by selecting the wallet icon in the upper right and selecting the ‘+’ sign:

Then select ‘New Wallet’, confirm that you understand the wallet creation process, log your secret keys, and the name your new wallet:

You’re ready to trade now! Let’s dive into how to navigate the Defly UI next.

How to Navigate the Pairs Tab

The Pairs tab is where you’ll likely spend the most time within Defly. This is the hub for all price action and where you can keep tabs on your favorite ASAs.

You can view the top pairings, newest pairings, hottest pairings, and wrapped/stable pairings:

You can also sort these tabs in a few different ways:

The sort defaults to LP depth on ‘Pairs’ section which shows you the most liquid pools in descending order. You can also sort by total volume or swaps, percent-change, price (descending order), market cap (descending order), age, and total holder count.

Note that if you change your sorting preferences on one tab (i.e. ‘New’) it won’t carry over to another tab (i.e. ‘Hot’). You’ll need to re-sort to your preferred preference.

Also, note the sort doesn’t default to LP for each section within the Pairs tab. ‘New’ defaults to age and ‘Hot’ defaults to swaps; however, ‘Wrapped’ defaults to LP just like ‘Pairs’.

You can also change your time interval:

You can choose between 1 hour, 12 hours, 1 day, 1 week, 1 month, 1 year, and total time intervals. ‘Pairs’ & ‘Wrapped’ both default to daily while ‘New’ & ‘Hot’ default to 1 hour.

In the future you’ll be able to swap between DEXs by pressing the ‘Tinyman 1.1’ button in the top right; however, other DEXs are still in the process of being integrated.

There is also a search (magnifying glass icon) feature in the upper right that acts as a real time saver at times. You can sort by project name, token name, and ASA ID. To copy and paste an ASA ID, use the clipboard icon next to the search bar:

You can also star pairings & once pairings are starred they show up in the ‘Starred’ section which more or less acts as a ‘Favorites’ section. This is one of our favorite features of Defly. When you launch the app, the ‘Starred’ section acts as the homepage and enables you to quickly check the price action on your most important pairings quickly and effortlessly.

You can star pairings a few different ways:

Clicking the star icon next to the pairing name
Swiping left on a pairing and then clicking ‘Star’
Clicking into pairing and then pressing the star icon

We recommend you use the hell out of this feature and fill that ‘Starred’ section up:

As we just reviewed, you can click into a specific pairings from the Pairs tab which provides you with more information and data about the LP and ASA (& its distribution) itself.

You can use this to view to analyze:

Price action over 1 day, 1 week, 1 month, & 1 year intervals
LP and ASA details including the ability to click out to AlgoExplorer (by using the link icon) if you want additional information
ASA Distribution
Other pools with selected ASA

You can even swap between line charts & candlesticks directly from this view by selecting the icons highlighted in green below:

When in candlestick charting, you can add moving averages by selecting the highlighted icon, and you can change the timeframe by selecting ‘1D’.

Gov Tip: If you change the timeframe, the Defly app will remember you preference and apply it across all pairings.

Although price alerts via push notifications aren’t live yet, you can still set email notifications by clicking the bell icon at the top:

You can even set-up your email to send you a push notification every time Defly emails you to act as a pseudo price alert notification in the meantime. The price alerts themselves are fairly basic at this time:

Last but not least, you can choose to swap a pairing directly from this screen selecting ‘Buy’ or ‘Sell:

How to Swap

Step 1: Navigate to Swaps tab

As you saw in the previous section you can access the swaps section from a specific pairing. You can select the Swaps tab from the app’s home screen or swipe right on the pairing you want from the Pairs tab and select ‘Swap’:

Step 2: Choose a Pairing to Swap Between

If you’re making a swap directly from the Swap tab without using either of the shortcuts we showed you, you’ll need to manually input the pair you want to swap by clicking on one of the asset drop downs:

Which will open this screen for you to choose which LP you’d like to swap into:

Gov Tip: As you can see, this adds some additional steps to the process. We recommend taking advantage of one of the shortcuts we’ve shown you to save yourself some time and energy.

Once you choose the pair you’d like to trade, select ‘Swap’ to continue:

Gov Tip: Notice the mini candlestick chart for a quick view into price action before swapping. You can also click the chart icon (highlighted) to switch back to the LP details screen.

Step 3: Finalize Swap

Next you’ll have to swipe right to confirm your swap and you’ll be provided with a transaction confirmation:

Take note that you didn’t need to sign multiple transactions to opt-in to an asset nor did you have to redeem your excess assets. This is all done automatically on the backend by Defly. How cool is that?

Gov Tip: If you select the ‘i’ icon next to Fees (before swiping to confirm) you can get a quick refresher on the Fee structure or what fee level you’ve currently unlocked

And that’s it, gov. It’s that easy to swap on Defly!

Let’s take a look at how to navigate the Transactions and Wallet tabs next.

How to Navigate the Transactions Tab

You can view a list of all the swaps you’ve made on Defly by navigating to the ‘Txs’ tab:

You can view more details about each swap on AlgoExplorer by selecting the swap you’d like to learn more about:

You can even export this list of swaps by clicking the export button:

While on the ‘Txs’ tab, you can also view a list of your wallet’s transactions by selecting ‘Txs’ at the top:

This will show you a list of your transactions, all of which can be viewed on AlgoExplorer by selecting them:

How to Navigate the Wallet Tab

Last, but certainly not least, let’s review the Wallet functionality of Defly. From the Wallet home screen, you can:

Monitor your portfolio’s value in real time (in ALGO or FIAT)
Monitor ALGO’s price
Send and receive assets by using their respective buttons
Add an Asset

If you select an asset in your wallet, it will open up an in-depth view that includes:

The ability to buy & sell an asset
Buttons to set a price alert or add an asset to your starred list
A real-time view of the value and profit / loss of your holdings
The chart icon which takes you to the LP details screen
Details about other pools that include your selected asset

You can change your preferences by clicking the gear icon in the upper left corner. Within the preferences menu, you can:

Select to view price changes as a percent or factor
Show your portfolio amount in ALGO or FIAT
Choose your default FIAT currency
Choose your default chart view (line charting vs. candlesticks)
Adjust your maximum slippage on swaps
Hide assets that have a zero balance
Filter out non-verified assets

You can use the wallet icon in the upper right to swap between wallets by clicking on the wallet’s name. You can also swipe right on a wallet to edit the wallet’s name, reveal its secret keys, or delete it.

And that’s it — now you’re a real Defly pro.

As always, thank you for stopping by the Club. Until next time, gov!

Disclaimer: This isn’t financial advice. As we say in crypto, don’t trust – VERIFY! Do your own research and don’t ever invest more than you’re willing to lose. Like any DeFi project, Defly comes with risks especially in its Beta form. The project can fail, smart contracts can be hacked, assets could be compromised, users can be exposed to impermanent loss (if they stake on Tinyman), etc.

There’s even more additional risk to consider with Defly’s beta as it hasn’t completed an official security audit yet. Be safe out there and make sure you do enough research before you decide if Defly is right for you.

Governors Club