DeFi Developers Introduce Seamless Protocol for Non-Custodial Liquidity Markets
Summary:
A collaboration of DeFi developers introduces a non-custodial liquidity market on Base's layer-2 network, allowing smart contracts to connect liquidity pools with borrowing strategies. The Seamless Protocol enables undercollateralized borrowing on-chain, ensuring transparency for liquidity suppliers. This approach aligns with the principles of crypto and DeFi.
A group of decentralized finance (DeFi) developers has collaborated to introduce a non-custodial liquidity market on the layer-2 network Base. This collaboration, which includes developers from Seashell, RNG Labs, and Loreum Labs, aims to allow trustless smart contracts to connect liquidity pools with borrowing strategies without the need for a custodian. The Seamless Protocol, a fork of Aave v3, enables predetermined borrowing strategies to conduct undercollateralized borrowing on-chain. This approach ensures that borrowers can only use the liquidity for the intended purpose, providing transparency to liquidity suppliers. While undercollateralized borrowing is not new in the crypto space, Seamless believes its solution, which relies on smart contracts rather than on-chain identities or reputation scores, aligns better with the principles of crypto and DeFi.
Published At
9/11/2023 3:35:00 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.