Crypto loan protocol Lendefi to build on newly launched Reef Chain
CryptoNinjas » Crypto loan protocol Lendefi to build on newly launched Reef Chain
Reef Finance, a newly launched DeFi blockchain built using Substrate Framework, today welcomed Lendefi to its growing ecosystem as one of the first lending projects to build on Reef Chain. The Lendefi Protocol facilitates leveraged trading and secured lending within a trustless environment.
The integration of Lendefi onto the Reef Chain will introduce a credit pool directly linked to the Reef Chain. In addition, a bridge will be created to facilitate the conversion of ERC-20 and BEP-20 tokens to REEF-20. Lendefi will transition the decision-making associated with its protocol into an interoperable DAO.
Lendefi allows traders to utilize undercollateralized loans for leveraged trading while delivering lenders security and interest payments on an hourly basis. Security for lenders is delivered through the protocol, which initiates a liquidation event before the assets of the lending pool are eroded.
“Reef will provide the true decentralization that Lendefi’s protocol needs to execute our DAO vision. An alignment of visions provides the foundation for a symbiotic relationship between our technologies.”
– Scott Schulz, Lendefi CEO
Lendefi on Reef Chain
The Lendefi protocol facilitates leveraged trading for digital assets combined with secured lending. Borrowers will be able to decide what factor of leverage they wish to access and can choose from a number of approved tokens to invest in. The protocol, originally designed for Binance Smart Chain, is decentralized and delivers advantages to both lenders and borrowers.
Through close cooperation and further development of Lendefi’s technology for the Reef ecosystem; opportunities will be created for lenders of digital asset lenders to generate returns from interest rates. Borrowers will be able to access leveraged trading positions through Lendefi’s lending pool.
Reef Chain is based on the Substrate Framework, which ensures high throughput, security, and low transaction fees, as well as a high level of compliance protection. The Substrate Framework is highly scalable, future-proof, and can support numerous DApps simultaneously. It is also natively compatible with Polkadot, to easily secure your blockchain and communicate with the Polkadot network.
“Lendefi’s innovative protocol is the first of its kind to deliver undercollateralized loans for digital assets. The potential for growth in this market is significant and we are happy to have Lendefi onboard Reef Chain.”
– Denko Mancheski, Reef CEO
CryptoNinjas » Crypto loan protocol Lendefi to build on newly launched Reef Chain