It’s clear that the future of crypto will involve cross-chain interoperability. Users do not want to be limited to a single chain, especially if the network is slower and more expensive than its counterparts. EasyFi has made inter-blockchain expansion a major tenant of its roadmap, and is a step closer to realizing this after announcing an integration with Binance Smart Chain (BSC).
BSC’s semi-decentralized blockchain has had DeFi users flocking to it en masse due to its high speed and low fees.
EasyFi Brings Full Integration
Through BSC, EasyFi will be bringing its broad suite of lending products to the Binance ecosystem. There are already some rudimentary lending platforms available, but EasyFi takes it to the next level, offering micro-lending, under-collateralized loans, credit default swaps and credit delegation. Currently, the majority of DeFi lending products focus on over-collateralized loans, forcing users to lock up over 100 percent of the desired asset they wish to receive as a form of coverage. EasyFi wants to create a decentralized system that mirrors the traditional lending system, offering new opportunities to users. Using Koinfox, a decentralized rating mechanism, EasyFi is able to assign individuals a lending score similar to a credit score, allowing users who qualify to take out riskier loans depending on their ability to pay them back.
These products will now be available to Binance users and fully interoperable with the platform. On top of this, EasyFi will introduce new products like credit default swaps to the network. Using this methodology, EasyFi tokenizes loans as an individual tradable financial instrument. An entire secondary market is then created to enable traders willing to cover the potential risk of the loan. The introduction of these products will be a game-changer for BSC users, introducing a much more robust lending protocol that allows for full financial capitalization.
EasyFi has already launched and is operational on Polygon (formerly Matic) and Ethereum, but it cannot stop there if it wants to reach mainstream adoption. For the EasyFi economy to offer the best rates to its users, it needs to increase overall platform liquidity. One of the most effective ways to accomplish this is by integrating its products with new blockchains.
Following the launch of EasyFi on BSC, EasyFi will be able to integrate BSC-based assets as collateral for its lending platform. It will also allow for the effortless integration of other projects and assets in the BSC ecosystem to join EasyFi, promoting the mutual expansion of projects that bring value to one another.
The introduction of lending scores and trust-based loans will significantly add to the capabilities of the BSC ecosystem. By injecting traditional-style lending into the blockchain world in the form of a system focused on ratings over collateral, EasyFi will be able to roll out more loans at better rates for DeFi users.