Introducing the Fintech Toolbox

In this post, I am reaching out to the Fintech folks. It has been about a couple of months since I started working on Konjugate. More recently, I have been working on a Fintech toolbox on top; an addon and a plugin pair that can be installed into Konjugate.

BLOT: You can download the Fintech Toolbox from the GitHub repository release page created specifically for this. The blog post, Installing add-ons and plugins, may be useful too.

The roadmap for Konjugate has always pointed at an open ecosystem of specialized extensions, each turning the general-purpose simulation engine towards a different domain. The Fintech toolbox is the first one; not just a demo, but a real attempt.

At the moment, the toolbox covers three kinds of questions:

• Interbank Stress models a network of banks with real balance-sheet structure, and asks what a depository run or an asset-price shock does to it, with or without a central-bank response.
• Market Dynamics pulls real price series, checks them for genuine lead-lag and same-day relationships, and lets you shock one and see what the found links imply for the rest.
• DeFi liquidation cascade model shows how a single thin liquidity pool can tip one over-leveraged vault into another, with every unit of ETH and USDC conserved across the whole chain.

The video briefly discusses and demonstrates all three of the aforementioned things: forking different scenarios, searching for the bank’s exact breaking point, and running the DeFi cascade live.

If you work in this industry, I would genuinely like to hear you interests and your criticism. Please post them in the comments here or on YouTube, or email them to us.