DeFi lending attracted a new wave of investments from investors and enthusiasts. As of December 2021, DeFi protocols accounted for over $100 billion in total value locked (TVL). That’s a surge from about $1 million in 2017—an insane amount in such a short time!
DeFi lending protocols keep strengthening and powering protocols that keep the crypto market afloat. Here are 3 interesting DeFi protocols to lend and borrow crypto assets.
Uniswap (UNI)
As a crypto enthusiast, there is a chance you’ve come across or used Uniswap to trade cryptocurrencies at some point. It is one of the leading DeFi lending platforms in the industry, having completed over 95 million transactions since inception, and accumulated over $900 billion in trading volume.
Uniswap facilitates liquidity provisions using supported cryptocurrencies like Ethereum (ETH), Binance Smart Chain (BNB), Polygon (MATIC), etc. It is easy to use, and simply connecting your wallet gives you access to different liquidity pools that you can lend and borrow from using your assets as collateral.
$UNI is Uniswap’s DAO governance token powering the platform. It is community-driven and traded on many centralized and decentralized exchanges or swapped as a liquidity pool (LP) token on Uniswap.
The Uniswap V3 protocol introduced a new architecture to the platform, making it easier and faster for third-party dApps to partner with Uniswap and use its products and features. To compete with DeFi lending platforms like Compound and Aave Protocols, the V3 platform will allow users to supply collaterals and lend on the protocol.
Aave Protocol (AAVE)
Aave Protocol is one of the largest DeFi lending platforms in the industry and a direct competitor to Compound Protocol, MakerDAO, and Uniswap.
It was first deployed on the Ethereum network in 2020 as ETHLend before rebranding to AAVE. At the time, it only supported Ethereum (ETH) for lending. It now supports over 7 networks, including Polygon (MATIC), Avalanche (AVAX), and Fantom.
The protocol provides a bridge that swaps other network tokens to the ERC20 standard, making Ethereum (ETH) the leading market and network on Aave.
AAVE is a fast-growing community-driven DAO token powering the Aave ecosystem. It ranks among the top 50 coins on the CoinMarketCap listing and can be staked on Aave DEX to earn interest. The Aave protocol also uses the token to finance the Aave Grant project for DeFi developers and innovators.
As a multichain protocol, you do not need to necessarily have Ethereum (ETH) to supply collaterals or lend on the platform.
Quitriam Finance (QTM)
Quitriam Finance is another DeFi protocol we can’t let go without a mention. The team behind the project has shown commitment to putting the project on the same table as Ethereum.
Quitriam Finance is currently undergoing presales on its website, a good opportunity to grasp its promising QTM token. The QTM token will serve as the utility token of the platform. At the same time, we await the introduction of the CM token proposed to serve as a community-driven DAO token to power Quitriam Finance’s DEX.
Quitriam Finance’s lending and borrowing mechanism will be distinct from the norm. Unlike many DeFi lending platforms where you supply collaterals or lend in the general pool using an automated algorithm, Quitriam Finance will allow users to choose different modes of supplying or borrowing funds. The respective modes include the fully automated, ѕеmiаutоmаtеd, and mаnuаl modes.
You can see more about Quitriam Finance:
Presale: https://presale.quitriam.io/register
Website: https://quitriam.io/
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