Yearn Finance launches a new lending protocol that does not have to have a governance token


Popular decentralized finance (DeFi) platform Yearn Finance has announced a new stablecoin lending protocol, with no governance token, dubbed StableCredit.

According to the description, StableCredit combines tokenized debt stablecoins, lenders, and automated industry makers to present “a completely decentralized lending protocol,” comparable to MakerDAO (MKR). Users can deposit USDC for USD StableCredit at a price of 75%, which can then be exchanged for other crypto assets. To release the locked USDC, the consumer need to deposit the borrowed StableCredit USD back into the protocol.

The StableCredit interface is remaining finalized, and it is anticipated that the protocol will be officially launched in the subsequent handful of weeks.

Notably, the StableCredit protocol will not distribute governance tokens to consumers – a tactic typically utilised by lots of tasks to appeal to consumers on new DeFi platforms.

Yearn Finance’s very own governance token, YFI, is one particular of the most well-liked names in the current DeFi craze. YFI rallied much more than 800% in August and hit an all-time large over $38,000. In the final 24 hrs, YFI has greater by twelve.two%, a favourable response when Coinbase Pro announced help for this token from September 14.

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