Last updated: Jun 25, 2022
Enzyme is an Ethereum-based protocol for decentralized on-chain asset management. It provides a customizable and safe environment for people or entities to manage their or others' wealth by setting up, managing, and investing in customized on-chain investment “vehicles”.
Previously known as Melon Protocol, Enzyme Finance was built by Melonport – a private company founded in 2014 by the mathematician Rito Trinkler and Mona El Isa, former vice president of Goldman Sachs.
The rebranding of the platform started in December 2020 ahead of the launch of the protocol’s v2 version, promising its users more asset types, simplification of the fund creation process from 9 steps to 1, and greatly lower gas costs. Although the name of the company and the logo have changed, there was no token migration and the MLN ticker was kept.
Users launch and control the funds other customers can invest in on the Fund Layer. It has two parts:
The Hub – core part of this layer, provides all the necessary tools to set up a fund and track the components which comprise it.
The Spokes – uses smart contracts to define the trusts created by each fund manager, thus contributing with specific services to them. The Vault – a component used for storing tokens, and Shares – component that tracks fund ownerships, are just some examples
Enzyme’s DAO or Melon Council controls the Infrastructure Layer. Some examples of infrastructure contracts are:
The Adapter contract – links certain assets to price feeds for trading
The Engine contract – buys MLN for ETH to pay for certain computations
The Price Source contract – provides general information needed for actions within the funds