Lending protocols have revolutionized not only the crypto and DeFi industries but also finance overall. They are offering solutions that allow more people to gain access to capital without going through complicated verification processes and, in many cases, fail them. Getting the money you want based purely on your past performance should be enough and that is precisely what Euler is working on. However, it is strictly related to crypto, so your traditional banking does not get in the way.
How Does Euler Work?
To make a platform like Euler requires a strong objective and, in their case, it seems that the objective was to create the most comprehensive solution that can cover almost any crypto asset that one may want to lend or borrow on any blockchain. To make that happen, they included several key features into their platform. However, that was just the core of the service as you can find plenty of other interesting things on offer. Here are a few of the things that Euler is offering its users.
- Listing assets is still something where lenders can face resistance from platforms, even in crypto. Euler solves that problem by offering a completely permissionless listing system. This means users can list whatever asset they want as long as it has a WETH pair on Uniswap v3.
- The system does not determine borrowing and lending rates in advance and uses control theory to determine the best possible rate. This makes the system more efficient and minimizes the level of governance needed, which is an essential part of their service.
- Collateral can be protected quite thoroughly in Euler as users have the option to withhold it from borrowers, short-selling opportunities, governance manipulation, and limiting trading risks. This is something that almost no other platform is offering.
- The system also makes liquidations MEV resistant, which is essential for retaining maximum profit margins. They do this using a discount booster paired with a Dutch auction.
The people who have created Euler have a diverse background and extensive experience in blockchain development, financial markets and crypto trading, software development, investment management, and more.
How to Participate?
Euler has not yet announced a date for a public ICO. However, you can stay updated about their system’s future developments by following their website and socials.
* ICO Daily does not provide investment advice. Please read our disclaimer