DeFi operates quite differently from the world of traditional financial services, enabling anyone in the world to borrow and lend capital in a trustless, decentralized ecosystem. They say money makes the world go around, and a robust financial services environment makes money go around.

While loans in the traditional realm incur some counter-party risk, DeFi ensures participants are fairly compensated in any scenario by having users interact with smart contracts instead of another person. Smart contracts are snippets of code deployed to the blockchain which can be programmed to perform specific tasks when the requirements are met. …

Over the last two years, DeFi has exploded from a niche sector within an even more niche industry to drawing in billions of dollars of volume into its borrowing and lending platforms. Much of the hype surrounding DeFi is in its seemingly absurd interest rates, with double and triple-digit APYs dotted around the space. However, jumping into the world of decentralized finance without fully understanding how these platforms work can be confusing and lead to needless losses.

Decentralized lending and borrowing platforms work similar to how things function on centralized financial services, except instead of having a trusted intermediary like…

Decentralized networks have received a lot of attention over the last two years, primarily due to the rise in popularity of DeFi platforms and the NFT wave causing paradigm shifts in how creative work is monetized. Digital assets have always been a somewhat speculative asset class, but NFTs take it to a whole new level.

NFTs are non-fungible, meaning every single one is unique and cannot be duplicated. This brings an element of scarcity to a digital token — something we’ve never seen before on the Internet. …

Since the DeFi boom last summer, the space has seen massive improvements to its core components. Blockchain technology is more in-demand than it’s ever been, and decentralized finance is at the heart of the hype. From automated market makers and staking protocols to DeFi lending and borrowing platforms, the blockchain ecosystem is slowly entering mainstream use, pushing ahead on its journey to mass adoption.

Lending is an essential element of any monetary system, and a strong lending framework is a sign of a healthy economy. Traditionally, loans are given out by banks or other centralized financial services firms with the…

In this article, I will describe the borrowing market in decentralized finance.

As this domain is really new, I will do my best to make it easy to understand and also provide you the resources to do your own research.

Hope you will appreciate, enjoy the ride !🛸

Market metrics :

The total borrowing value outstanding in DeFi is now over 10B$, which shows a massive growth compared to last June when it reached its first 1B$.

The most borrowed assets are stablecoins, DAI and USDC representing 90% of the total borrowed amount

DeFiPulse data, extracted on 07/04/2021

The principal actors are: Compound, Maker, Aave, Dydx, Cream.



The DeFi ecosystem grows exponentially, so are the challenges needed to be faced. One of those is the lack of solutions for minimizing the cost.

In traditional financial markets, there are always opportunities to refinance debt and lower the borrowing interest rate of a loan. Think of how often people aggregate their multiple debts, for example, home mortgages, student loans, multiple credit cards all into one loan with a lower rate.

At Fuji we believe that DeFi requires similar refinancing opportunities, but renovated to the 2.0 level with the power of blockchain and smart contract automation.

This is exactly what…

🗻 Over the clouds you fly, as high as Fuji in the sky…

There are two ways people can go about the world financial systems losing their credibility nowadays. The first one is to simply do nothing, wait until something breaks, and let the leaders who put us in that situation try to fix it. The second one, which we have chosen, is to face off the problem and help pave the future world of decentralized finance. Akin many of you readers are doing right now.

Our modern “garage” story started in January 2021.

Each of us signed up alone to the “MarketMake” DeFi ETHGlobal hackathon hoping to…

Edgar Moreau

Currently creating the future of worldwide finance.

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