Cross-Protocol Debt Refinancer

WHAT IT DOES

Cross-Protocol Debt Refinancer is a DeFi tool that enables you to move your debt from one lending protocol to another to take advantage of better interest rates, improved collateral factors, or more favorable terms. It reads your current debt position, collateral value, and interest rate from the source protocol, then compares it with the target protocol's parameters including borrow rate, liquidation threshold, and available liquidity. The tool then constructs a transaction that repays your existing debt and borrows an equivalent amount from the target protocol — potentially swapping collateral tokens along the way if needed. This allows you to optimize your borrowing costs and improve your position's health factor without manually managing multiple transactions.

HOW TO USE

Connect your EVM wallet via the BGWallet bridge. Enter the addresses of your source lending pool (where you currently have debt), the target lending pool (where you want to refinance), and your debt and collateral tokens. Optionally, provide a swap router and token path if the target protocol uses a different debt token or if you need to convert your collateral. Set your slippage tolerance, then click "Simulate Refinance" to see a comparison of interest rates, the new debt amount, and the projected health factor in the target pool. Review the simulation results — if the target rate is lower and your health factor remains safe, click "Execute Refinance" to sign and broadcast the transaction. The tool will show progress for each step and provide a transaction hash for tracking.

TECHNICAL MECHANISM

The tool fetches current interest rate models from both protocols using their respective pool contracts. It calculates the variable borrow rate (or stable rate, if applicable) for the specific debt token and collateral configuration. It then simulates the refinance by determining how much debt can be borrowed in the target protocol based on your collateral value and its liquidation threshold. The transaction sequence is: (1) repay the full debt in the source protocol, (2) optionally swap tokens via the router to match the target protocol's requirements, (3) deposit collateral into the target protocol, and (4) borrow the desired amount from the target protocol. All steps are encoded using multicall or sequential calls with proper nonce management to ensure atomicity — if any step fails, the entire transaction reverts, leaving your position unchanged.

WHAT IT CANNOT SEE

This tool cannot guarantee that the refinancing will be profitable if interest rates change between the simulation and execution, or that the target protocol's terms remain unchanged. It also cannot predict changes in collateral prices, oracle updates, or sudden shifts in protocol utilization that could affect the actual borrow rate at execution time. The health factor displayed is based on current on-chain data and may differ at the time of execution. Always monitor market conditions and gas costs before proceeding — a lower interest rate may not justify the transaction fees if the debt amount is small.

PLEASE NOTE

EVM chains only. This tool relies on the BGWallet connector and will not function on Solana, Tron, Starknet, SUI, TON, Aptos, Bitcoin, Cosmos, or XRP. The user is responsible for ensuring the supplied contract addresses are correct and that both protocols support the specified operations. Always double-check the simulation results and consider the gas cost before signing any transaction.