UniLend: Decentralized Spot Trading With Borrowing and Lending Functionalities.
Decentralized Finance is here to stay, and it is shaking the financial world that we once knew. Before the coming of UniLend, the decentralized finance protocols in existence usually hosted thirty crypto assets out of the thousands of crypto assets that exist. UniLend came to close to the ravine by ensuring that every token, as well as its users, can enjoy the perks of decentralized finance technology.
This platform believes that permitting every crypto to get involved in DeFi free market would improve the liquidity of the ecosystem by astronomical figures. UniLend is different from its competitors, being that it acts as a permissionless decentralized protocol that offers money market facilities, spot trading services, as well as lending infrastructure via the usage of smart contracts.
A Problem with Existing DeFi Platforms
It’s not news that existing DeFi platforms tend to be stringent with which projects that allow being in their pool. This barrier has made a lot of assets to be unable to participate in the ecosystem.
Lenders in multi-asset pools usually have to worry their heads about the risk that is linked with their assets being lent. This emanates from the fact that they do not have control over the collateral that their funds are lent against. They can’t determine what collateral is used.
UniLend solves the problems that are common in existing platforms.
As a permissionless protocol, Unilend is giving users a great deal of digital assets. We will look at some features of the UniLend Protocol.
Unilend offers permissionless listing
One thing enthusiasts can’t get enough of this protocol is the fact that any ERC20 token is allowed to join the list. There’s no one controlling how the listing should go. This will make it easy for the tokens to get listed without stress. This can’t be said for competitors.
Unilend offers lending and borrowing facilities
Lenders and borrowers can be a part of this platform. Lenders receive interest rates for their funds, while the borrowers have access to funds, which they then pay an interest rate.
Unilend offers a trading facility
A decentralized spot trading functionality is available for users of this intriguing platform. For trading enthusiasts that fancy spot trading, there is a place for you on the table.
Governance is in the hands of token holders
Before any major changes are made, there will be a majority consensus between holders of the token. This is because UniLend is all about decentralization.
User Participation Incentives
Like earlier mentioned, the users of this platform are the stakeholders that determine how things are run. For decentralization to occur, distribution of governance power is important.
Those holders of the token that her involved in borrowing, lending, or even trading will get a reward for getting involved. They will be given UFT to motivate them to use the platform.
UniLend ticks the boxes that DeFi projects, tokens and users have been looking for. Lending, borrowing and trading have become a lot easier than before.
Originally published at https://hive.blog on October 31, 2020.