The EasyFi Network has finally made the shift from Version 0.0 of its DeFi protocol to Version 1.0 and this comes with a special announcement – the launch of EasyFi Network’s Volatile Assets Markets. The launch has been made on Matic Network and was made effective from December 9, 2020.
The move has been part of EasyFi’s Q4 plan and the initial phase has begun with the ETH market going live. It is expected that assets like MATIC and WBTC will also go live in due course of time. With this launch, EasyFi Network has become the first DeFi application outside of the Ethereum ecosystem and also on a Layer 2 (Matic Network) network to launch decentralized lending with volatile assets.
Integrations made by EasyFi
The launch has been made possible due to the integration of several new processes and systems by EasyFi. This includes updating Risk Management Systems, ensuring a robust Liquidation Mechanism that helps protect investors’ assets, and integrating and testing ChainLink’s Price Feed Oracles.
EasyFi’s Volatile Asset Money Markets
The Volatile Assets Markets are a huge step in an evolving DeFi ecosystem on the Matic Network. They come with various features such as new collateral options that will bring in new suppliers and inject greater liquidity to the protocol and the network. Users will have opportunities to get long and short exposures on assets at minimal costs.
The models are based on principles of optimization and this means that the parameters for stable coin and ETH markets remain the same as V0 – a collateral factor of 70%, a reserve ratio of 10%, a base rate of 2% and a safe max of 10%. The Safe Max feature helps users to avoid excessive exposure. Moreover, the expected speeds of transactions in Layer 2 could also open up arbitration possibilities on certain assets.
EasyFi: Future Goals
With this launch on a Layer 2 network, EasyFi has also moved on to greater challenges. The future goals include a new addition of collateral markets and also a focus on under-collateralized loans. These steps are likely to open doors for a huge market for EasyFi and we may just get to see a new era in the evolution of DeFi.
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