How TrueFi Capital Market Will Change the Future of DeFi Credit

 

SINGAPORE, July 12, 2022 (GLOBE NEWSWIRE) — As a leading cryptocurrency exchange, BitYard hosted an AMA with the TrueFi team, DeFi’s first credit marketplace, and invited Matt Kielczewski, the head of community, to share his views on how credit will change the future of on-chain credit.

In the traditional way of financial lending, borrowers need collateral to get a loan. TrueFi provides unsecured loans through a credit scoring mechanism. Even when the borrower does not have collateral, it can punish the behavior of defaulting on the loan; at the same time, introduce high-quality lenders at high interest rates and provide lenders with stable and sizable loans.

By staking TRU on TrueFi, token holders earn substantial rewards in the form of token incentives and loan origination fees, in exchange for assuring lenders of the protocol in case of default. “Staking APYs are now +12% – and that’s before origination fees,” says Matt, the head of the community of TrueFi.

For the loan application proposed by the borrower, the TRU pledger will vote to decide whether to lend the loan. Such a vote would expose TRU stakers to the possibility of incurring losses or gaining gains, so TRU stakers would be incentivized to vote prudently.

“We saw TrueFi as an opportunity to help put money in places where it can grow best, with the least amount of friction. This first era of TrueFi was important to today’s design, which enables independent portfolio managers to move their financial opportunities on-chain, opening up opportunities to retail investors to back B2B fintech lending, emerging market investing, and even crypto mortgages. Today, TrueFi acts as a lending marketplace, connecting portfolio managers offering financial opportunities to borrowers seeking capital and lenders seeking yields. You can think of it almost like an app store, but serving up lending opportunities rather than apps,” says Matt.

TrueFi focuses on businesses, as they are a lender for institutional borrowers first. But, they are now letting it be even easier for the retail lender to get involved in their protocol! The first step in that direction was the launch of the Perpetual Protocol Portfolio on Optimism. The launch of this portfolio allows retail users to jump into our lending protocol by parking their USDC with lower gas fees and faster transactions using the Optimism L2 Ethereum scaling solution.

About TrueFi

TrueFi was launched in November 2020, making TrueFi DeFi’s first credit-based lending protocol. TrueFi lets portfolio managers launch uncollateralized lending opportunities on-chain to a global base of lenders and borrowers. Lenders enjoy lucrative, sustainable yields across a variety of on-chain and off-chain financial opportunities, and borrowers can rapidly access competitively priced capital with no collateral requirements.

About BitYard

BitYard is a one-stop cryptocurrency trading platform with the most professional services. Bityard provides users a trading solution through Spot, Contracts for Differences (CFDs), Inverse perpetual contracts, USDT perpetual contracts, Grid trading, and Copy-trading services.

BitYard:www.bityard.com

About the author

Brent Dixon is the owner of E-Crypto News and an early adopter of cryptocurrencies. He is a Book editor- that has edited numerous books on Cryptocurrencies. He has been a writer for more than 30 years. Covering everything from Jazz Music to Blockchain Technology. He currently lives with his wife on Miami Beach, Fl.

E-Crypto News Executive Interviews

Cryptopunkad1
Cryptopunkad2
Cryptopunkad1
Cryptopunkad1
Cryptopunkad1
Cryptopunkad1
previous arrow
next arrow

Automated trading with HaasBot Crypto Trading Bots

Blockchain/Cryptocurrency Questions and Answers

What Is A Public Presale In Crypto?
What Is A Public Presale In Crypto?
September 22, 2022
Cryptocurrency
How Many Cryptocurrencies and NFT Collections are there in 2022?
September 21, 2022
What Are The Benefits Of Cryptocurrency?
What Are The Benefits Of Cryptocurrency?
September 20, 2022
What Are E-stablecoins And How Do They Operate?
What Are E-Stablecoins And How Do They Operate?
August 11, 2022
How to Choose a Legit Crypto Casino?
August 5, 2022


CryptoCurrencyUSDChange 1hChange 24hChange 7d
Bitcoin18,910 0.23 % 0.96 % 6.07 %
Ethereum1,298.2 0.14 % 3.32 % 11.76 %
Tether0.9998 0.21 % 0.02 % 0.05 %
USD Coin1.000 0.44 % 0.25 % 0.18 %
BNB274.80 0.25 % 1.14 % 1.63 %
XRP0.5047 0.15 % 0.99 % 34.40 %
Binance USD1.000 0.15 % 0.14 % 0.18 %
Cardano0.4504 0.33 % 2.37 % 7.65 %
Solana42.12 0.56 % 2.22 % 3.81 %
Dogecoin0.06195 0.58 % 3.76 % 0.56 %

bitcoin
Bitcoin (BTC) $ 18,945.44
ethereum
Ethereum (ETH) $ 1,299.89
tether
Tether (USDT) $ 1.00
usd-coin
USD Coin (USDC) $ 1.00
bnb
BNB (BNB) $ 275.32
xrp
XRP (XRP) $ 0.501998
binance-usd
Binance USD (BUSD) $ 1.00
cardano
Cardano (ADA) $ 0.451642
solana
Solana (SOL) $ 32.80
dogecoin
Dogecoin (DOGE) $ 0.062128