> For the complete documentation index, see [llms.txt](https://aruna-1.gitbook.io/aruna-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://aruna-1.gitbook.io/aruna-docs/using-aruna/use-cases.md).

# Use Cases

## Use Case 1: Web3 Development Agency

**Scenario:** A blockchain development agency regularly invoices clients with 60-90 day payment terms.

### The Problem

* Monthly operating costs: $50,000
* Invoice payment delays: 60 days average
* Cash flow gaps create stress
* Can't take on new projects while waiting for payment

### Using Aruna

**Step-by-Step Flow:**

```mermaid
sequenceDiagram
    participant Agency
    participant Aruna
    participant Client

    Agency->>Aruna: Submit 50000 USD invoice (60 days)
    Agency->>Aruna: Lock 5000 USD collateral (10%)
    Aruna->>Agency: Send 1500 USD grant (3%)

    Note over Agency: Net: 3500 USD locked, 1500 USD grant received

    Client->>Agency: Pay 50000 USD invoice (after 60 days)
    Agency->>Aruna: Settle invoice
    Aruna->>Agency: Unlock 3500 USD collateral
    Aruna->>Agency: Grant +1 reputation point
```

### Results

* **Immediate**: $1,500 working capital unlocked
* **Cost**: $3,500 locked for 60 days
* **ROI**: 43% on locked funds (over 60 days)
* **Long-term**: On-chain reputation built

***

## Use Case 2: Individual DeFi Investor

**Scenario:** An investor has $100,000 USDC seeking yield while supporting Ethereum ecosystem.

### The Journey

**Timeline of Impact:**

```mermaid
graph LR
    A[Investor: 100000 USD] --> B[Deposit to Morpho Vault]
    B --> C[Month 1: Harvest 683 USD]
    C --> D[478 USD earned + 171 USD to public goods]
    D --> E[Month 2: Harvest 683 USD]
    E --> F[478 USD earned + 171 USD to public goods]
    F --> G[Year 1 Total]
    G --> H[5740 USD earned]
    G --> I[2050 USD to public goods]
```

### Five-Year Impact

| Year | Investor Earnings | Public Goods Funded | Cumulative Impact |
| ---- | ----------------- | ------------------- | ----------------- |
| 1    | $5,740            | $2,050              | $2,050            |
| 2    | $5,740            | $2,050              | $4,100            |
| 3    | $5,740            | $2,050              | $6,150            |
| 4    | $5,740            | $2,050              | $8,200            |
| 5    | $5,740            | $2,050              | $10,250           |

**Total after 5 years:**

* Investor earned: $28,700
* Public goods funded: $10,250
* **From one deposit action**

***

## Use Case 3: DAO Treasury Management

**Scenario:** A DAO has $5M treasury seeking productive use while supporting ecosystem.

### Traditional Approach vs Aruna

**Comparison:**

**Traditional Treasury Management:**

```mermaid
graph TD
    A[DAO Treasury: 5M USD] --> B[Traditional Options]
    B --> C[Staking: Low yields]
    B --> D[Lending: No impact]
    B --> E[One-time grants only]
    C & D & E --> F[Result: Suboptimal]
```

**Aruna Treasury Strategy:**

```mermaid
graph TD
    A[DAO Treasury: 5M USD] --> B[Deposit to Aruna]
    B --> C[287K USD/year earned]
    B --> D[102K USD/year to public goods]
    B --> E[Full liquidity maintained]
    C & D & E --> F[Result: Optimal + Impact]
```

### Annual Impact at $5M Deposit

**At 8.2% APY:**

* Total yield: $410,000
* DAO receives (70%): $287,000
* Public goods (25%): $102,500
* Protocol (5%): $20,500

**Compared to $100K Gitcoin donation:**

* Aruna funds **$102K every year** from yield alone
* DAO still earns $287K (competitive returns)
* Zero principal consumed
* Scales with treasury growth

***

## Use Case 4: Protocol-to-Protocol Integration

**Scenario:** A DeFi protocol wants to offer users public goods funding without complexity.

### Integration Flow

**Seamless User Experience:**

```mermaid
sequenceDiagram
    participant User
    participant PartnerProtocol
    participant ArunaVaults
    participant PublicGoods

    User->>PartnerProtocol: Deposit via partner UI
    PartnerProtocol->>ArunaVaults: Forward to Aruna vault
    ArunaVaults-->>PartnerProtocol: Return vault shares
    PartnerProtocol-->>User: Show balance and yield

    User->>PartnerProtocol: Request withdraw
    PartnerProtocol->>ArunaVaults: Harvest and withdraw
    ArunaVaults->>ArunaVaults: Distribute 70/25/5 split
    ArunaVaults-->>PartnerProtocol: Return funds (70% yield)
    ArunaVaults->>PublicGoods: Send 25% to public goods
    PartnerProtocol-->>User: Transfer funds to wallet
```

### Benefits for Partner Protocol

* Differentiate with public goods impact
* No additional smart contract development
* Leverage Aruna's audited infrastructure
* Market as "impact-aligned" protocol

### Benefits for Users

* No workflow changes
* Automatic public goods support
* Competitive yields maintained
* Transparent impact tracking

***

## Use Case 5: Ethereum Core Developer Funding

**Scenario:** Protocol Guild receives funding from Aruna's 25% yield allocation.

### Funding Flow

**From Investors to Core Developers:**

```mermaid
graph TD
    A[Multiple Investors] --> B[Total: 10M USD TVL]
    B --> C[Generate 820K USD/year yield at 8.2% APY]

    C --> D1[574K USD/year to Investors - 70%]
    C --> D2[205K USD/year to Public Goods - 25%]
    C --> D3[41K USD/year to Protocol - 5%]

    D2 --> E[Octant v2 Distribution]

    E --> F1[Protocol Guild: 50K USD/year]
    E --> F2[Ethereum Foundation: 30K USD/year]
    E --> F3[Gitcoin: 25K USD/year]
    E --> F4[Other Projects: 100K USD/year]

    F1 --> G[Funds 10 Core Developers]
```

### Impact on Protocol Guild

**With $10M Aruna TVL:**

* Protocol Guild receives: \~$50,000/year
* Funds approximately: 10 part-time core developers
* Recurring: Every year, indefinitely
* Predictable: Can plan multi-year roadmaps

**As Aruna Grows to $100M TVL:**

* Protocol Guild receives: \~$500,000/year
* Funds approximately: 100 part-time developers
* Transforms ecosystem sustainability

***

## Use Case 6: Small Business Cash Flow

**Scenario:** A local blockchain consultancy with lumpy revenue.

### Monthly Cash Flow Comparison

**Without Aruna:**

* Month 1: Invoice $10K → Wait 60 days
* Month 2: Invoice $15K → Wait 60 days
* Cash crunch months 1-2
* Can't hire freelancer needed for project

**With Aruna:**

* Month 1: Invoice $10K → Lock $1K, get $300 grant → Hire freelancer
* Month 2: Invoice $15K → Lock $1.5K, get $450 grant → Cover expenses
* Month 3: First invoice paid → Unlock $700 collateral
* Smooth cash flow, business growth

### The Numbers

| Invoice | Collateral | Grant | Net Locked | Days | Effective APY |
| ------- | ---------- | ----- | ---------- | ---- | ------------- |
| $10,000 | $1,000     | $300  | $700       | 60   | 262%          |
| $15,000 | $1,500     | $450  | $1,050     | 60   | 262%          |
| $20,000 | $2,000     | $600  | $1,400     | 90   | 175%          |

**Result:** Sustainable business growth with minimal capital requirements.

***

## Use Case 7: Yield Aggregator Integration

**Scenario:** Yield aggregator wants to offer "impact vaults" to users.

### User Experience

**Through Yield Aggregator:**

```mermaid
sequenceDiagram
    participant User
    participant Aggregator
    participant ArunaVaults

    User->>Aggregator: Browse vaults
    Aggregator-->>User: Show Standard vs Impact Vault

    User->>Aggregator: Select Impact Vault (Aruna)
    Aggregator->>ArunaVaults: Deposit user funds
    ArunaVaults-->>Aggregator: Return vault shares

    loop Monthly Cycle
        ArunaVaults->>ArunaVaults: Accrue yield automatically
        User->>Aggregator: View dashboard
        Aggregator->>ArunaVaults: Query yield earned
        Aggregator-->>User: Display earnings and public goods funded
    end
```

### Aggregator Benefits

* Differentiate with impact-focused products
* Attract ESG-conscious users
* No additional smart contract risk
* Marketing advantage in competitive market

***

## Summary: Who Benefits?

| User Type        | Primary Benefit       | Secondary Benefit         |
| ---------------- | --------------------- | ------------------------- |
| **Businesses**   | Instant cash grants   | On-chain credit history   |
| **Investors**    | Competitive yields    | Automatic impact creation |
| **DAOs**         | Treasury optimization | Values alignment          |
| **Public Goods** | Sustainable funding   | Predictable revenue       |
| **Protocols**    | User differentiation  | Impact marketing          |
| **Ecosystem**    | Developer funding     | Long-term sustainability  |

***

## Getting Started

Ready to try Aruna? Here's what to do:

1. **For Investors**: Visit [Aruna App](https://aruna-defi.vercel.app), connect wallet, deposit USDC
2. **For Businesses**: Submit your first invoice commitment via business dashboard
3. **For Protocols**: Check our [GitHub](https://github.com/yeheskieltame/Aruna) for integration docs
4. **For Public Goods**: Apply to Octant v2 to receive allocations

**Questions?** Check out [How It Works](/aruna-docs/using-aruna/how-it-works.md) or review [Key Concepts](/aruna-docs/using-aruna/concepts.md).