DeFi is the gift that keeps on giving – never before have people been able to earn sizable interest rates and rewards for their crypto assets. However, beneath the surface lies a problem – if users want to use locked tokens as collateral to receive a loan, the tokens would need to be withdrawn from the liquidity pool, foregoing any future rewards.
DeFi is the land of the free, so any and all limitations must be eliminated.
Freeliquid solves this liquidity problem, and consequently creates potential for higher yields. As a decentralized lending platform that enables funding options in USD stablecoins to LPs, it allows anyone to receive interest-free loans valued at up to 90% of the collateral in the form of USDFL, a dollar-pegged stablecoin. With no risk of liquidation, users tap into exciting new revenue streams while continuing to receive their fair share of transaction fees on AMM liquidity pools.
Announcing Freeliquid’s Latest Developments
After seeing huge success by collateralizing Uniswap’s LPs for 90% stablecoin loans, Freeliquid is putting the pedal to the metal, and further expanding its horizons with two promising integrations.
Support for Curve Finance’s $3CRV
By integrating support for Curve’s 3pool, Freeliquid users can now receive loans backed by $3CRV LP tokens. Upon securing a loan, $3CRV tokens will be locked in Freeliquid’s protocol, with users retaining their APY and CRV rewards.
At press time, Freeliquid has added support for Dai, USDT, and USDC collateral on Curve’s 3pool. With over $800M in stablecoin liquidity, this integration will further enhance Freeliquid’s value proposition.
Binance Smart Chain (BSC) Expansion
The Freeliquid community continues to bolster and support innovation, voting to integrate the protocol with BSC. As Binance is a leader in the crypto space, this is a massive step forward to capitalize on scalability, tap into newly-available liquidity, and provide cheaper fees to the end-users. In fact, BSC incurs fees as low as 10% when compared to Ethereum, leading to significant savings over the long term. Leading AMMs like PancakeSwap will be supported, yet the LP pairs are yet to be announced.
Freeliquid’s smart contracts will be tailored to BSC in the coming months. Both the ETH and BSC protocols will be independent from one another, with the exception of a bridge that will connect FL (the governance token) and USDFL stablecoins between the blockchains. Freeliquid will continue to scale developments on the Ethereum blockchain, while bringing BSC-dedicated developers onboard.
The integration is scheduled to occur in early Q2 2021, with the team working diligently to accurately test and ensure the expansion goes smoothly.
Stay Informed on Future Updates
With an exciting roadmap and many major developments on the way, it’s great to stay up-to-date on all Freeliquid news. To learn more, check out the Freeliquid website, Github, Twitter, and Telegram community.