For those unfamiliar with DeFi lending, heres a quick glance at what makes it unique:
Permissionless Anyone can lend their assets across the protocol(s) of their choosing at minimal costs.
Automated Smart contracts follow pre-established parameters to issue, monitor and service active loans.
Non-Custodial Virtually all DeFi lending protocols do not require users to transfer ownership of their underlying assets. This means they can come and go as they please without any guidance or approval from a third party.
Secure Major lending protocols have been rigorously audited, meaning that funds supplied to lending contracts are backed by the most robust code in the world.
Dynamic Most major lending protocols today offer variable interest rates which are automatically adjusted relative to the supply and demand of any given asset.
Stress-Free Interest earned from lending is collected automatically, meaning there is little to no degree of maintenance required by end-users to earn a passive income on the most popular cryptocurrencies.
Impressive interest rates and the extensibility of decentralized financial (DeFi) products have helped fuel impressive growth in the sector over the past year.
