Current DeFi/CeFi Market Conditions and Lending Platforms
After 2022, it was a bear market. There are various events that make investors in the crypto world. A lot of trust has been lost, including the collapse of Terra, the world’s largest crypto fund 3AC, the bankruptcy of many CeFi platforms, and the recent collapse of FTX & Alameda Research. go again Causing many investors to lose a lot of money and trust in crypto investments, but if you look back at the fundamentals of crypto, it is decentralized. (Decentralized) and we will notice that in investing in Decentralized Finance (DeFi) continues to evolve during this bear market.
From various events that occur, most of which occur with the Centralized Finance (CeFi) platform, so it can be seen that Most of the mistakes are caused by mistakes in the management of all intermediaries.
During this period, DeFi platforms saw higher usage. For example, decentralized exchange (DEX) platforms like Uniswap, in November with the FTX collapse, Uniswap had trading volume of $34 billion. During a down market
Image courtesy of Defillama (Information as of March 17, 2023).
Hence, lending platforms are a category of DeFi that will see massive developments. Several evolutions have taken place in the past to address some of the existing weaknesses, such as undercollateralized lending that was developed to solve the capital efficiency problems of platforms such as Maple finance or Gearboxprotocol.
In our country, there is the first Lending platform called yestoken.digital which was just launched in the past year 2022 Which will be the details? We will take a deep dive into this article.
What is yestoken.digital?
yestoken.digital It is the first DeFi lending platform in Thailand. The project was developed on Bitkub Chain, the number one blockchain in Thailand. And there is also a team of development partners like Finstable that support behind the scenes of the project. There is also a YES Token coin, a token certified by BitKub Chain (Verified by BitKub Chain) It is also a Governance Token on the platform.
For use on the platform, lenders and borrowers can be used on the platform without identity verification (KYC), where they can borrow and lend digital assets such as KUSDT, KUSDC, KKUB. via Bitkub NEXT wallet connection and MetaMask (Bitkub Chain)
Interest rates or interest ratesborrowerIt is divided into 2 ranges depending on the Utilization rate:
- The interest rate in the normal rate range will be 0-5%.
- Interest rates in the jump rate range will be 6-32.25%.
Information as of March 27, 2023
You can see that the borrower’s interest rate is not expensive at all. Especially if it is a normal period with low utilization rate, the borrower will only lose 0-5% interest on borrowing digital assets. Now, if borrowing KUSDT on yestoken.digital platform will only pay 0.05% interest (information as of March 27, 2023). In addition, for those who have digital assets that are just held and do nothing, digital assets can be borrowed on the platform to receive passive income easily.
seizure of collateral assets
Like other lending platforms, borrowing digital assets also carries a risk that must be observed, namely, the collateral or liquidation that will occur automatically when the borrowed value reaches the risk point. At present, the borrower can borrow 75% of the value of the collateral asset. In which the borrower must always check the value of the collateral assets to be in a safe range. However, borrowers can easily check from the % Allocated Collateral on the Borrow/Repay page on the platform, not to reach 100% to be liquidated.
Get to know the token of the platform “YES Token”
The YES Token coin has a total supply of 10,000,000 YES, the coin has been launched since February 2022, the coin distribution is as follows.
- 50% for public sale in the secondary market
- 25% is stored in the YES Vault for distribution to users.
- 25% will be kept for the team for development costs.
The interest of the YES coin is that you can own the YES coin by purchasing daily necessities through the online platform ecosystem like the YES Official Store on the Lazada platform. In addition to yestoken.digital, it can create investment opportunities in the digital world as well. The team also plans to develop the YES token into a voting token that will shape the direction of the ecosystem in the future.
How to use yestoken.digital
- Connect the bag: Press “Connect Wallet” in the upper right corner. Users can choose to use BITKUB NEXT or MetaMask wallets. In this example, it will be connected to BITKUB NEXT to connect directly to the Bitkub chain.
- Coin Exchange: Go to the “Trade” page to exchange for other coins available to use on the platform, such as YES, KKUB, KUSDT.
- Depositing digital assets for lending: Go to the “Deposit/Withdraw” page and click the coin you want to deposit. Here, try to deposit 5 KUSDT coins. Once you have verified the coin type and deposit amount, click on “Deposit” to proceed with the deposit.
- Withdrawal of Lending Digital Assets: Users can withdraw the borrowed coins at any time. on the original page at “Deposit/Withdraw”, click on “Withdraw” and click on the coin you want to withdraw. Which in this case is KUSDT coin, we can enter the amount you want to withdraw for partial withdrawal or click “Max” to withdraw the full amount. Then press the “Withdraw” button to continue confirming the transaction.
- Adding collateral assets for borrowing digital assets: For V.2 when going to the page “Deposit/Withdraw” button, we can select the deposited coin to be used as Collateral by pressing the “Enable Collateral” button on the desired coin. Here, try to select Enable Collateral for YES and KUSDT tokens which will be green when selected as shown above.
- asset borrowing: In the previous step, we have already deposited 5 KUSDT to be Collateral. After that, click on the page. “Borrow/Repay” and select the coin you want to borrow. Here we will try to borrow KKUB coins. To borrow the maximum amount by pressing “Max” will borrow 1.75 KKUB (approximately 75% of the value of the collateral). Once you check the numbers are good, press “Borrow”.
- checking loan status: When we have already borrowed We can check the status of our loan at the page. “Borrow/Repay” as pictured above, this page shows the value of the collateral assets we have deposited. and how much we borrowed In the example, the collateral value is 128 baht and the borrowing value is 102 baht, which makes the % Allocated Collateral at 79.75%. The borrower must monitor the orange bar to not reach 100% because the collateral asset can be liquidated.
- return of digital assets: When you want to return the borrowed assets, go to “Repay”. You can choose to return partial or full return by pressing “Max”. In this case, you will return all the borrowed KKUB coins and press “Repay”.
yestoken.digital V.2
When reading this, many people who are familiar with the use of Lending platforms may be concerned because using a coin with high price volatility increases the risk of being liquidated accordingly. too The YES team should have foreseen the concerns of users in this regard, so in December 2022, the platform has just announced its launch. yestoken.digital V.2 In this V.2, the platform has added other coins that can be used as collateral assets in addition to YES coins such as KUB, KKUB and also have stablecoins as alternatives such as KUSDT, KUSDC as well.
How to buy YES coins
For those who are interested in owning the YES coin, there are several ways. Whether trading through DEX like diamon.finance Or those who buy from the YES Official Store on Lazada are also eligible for the YES coin bonus.
For those who do not meet the conditions to receive an Airdrop or bonus, they can buy YES coins through the platform. yestoken.digital or diamon.finance Here’s how:
- Install MetaMask wallet and install Bitkub Chain network or install Bitkub NEXT.
- Buy KUB coins on Bitkub exchange
- Withdraw KUB to MetaMask wallet
- go to https://app.diamon.finance/#/swap Then press the Connect button in the top right corner of the screen.
- Select the MetaMask bag.
- Select the coin to exchange. By giving the source coin as KUB coin and the destination coin as YES coin, then enter the amount of coins you want to exchange.
- Click on the Swap button and Confirm swap, then MetaMask will display a window to confirm the transaction.
8. When successfully purchasing coins The following window will be displayed.
9. You can check the number of YES coins you have in your wallet by clicking on the YES coin icon on the Diamon.finance web page. This will cause the YES coin to be displayed in the MetaMask wallet.
10. When MetaMask is opened, YES coins will be displayed in the wallet.
Partners
which in addition yestoken.digital has announced a partnership with several leading companies to expand access to the YES coin to more customers. which is expected to make the platform yestoken.digital can grow in the future Currently, YES has partnered with Wirtual, Buzzebees, Ocean Life, Finstable and Lazada.
For example, YES has partnered with Buzzebees, a leader in the design and development of a CRM Privilege & Loyalty Program platform that allows more than 130 million customers and merchants under Buzzebees to exchange points for YES Tokens. can
Recently, Ocean Life or Ocean Life Insurance Public Company Limited has just announced a collaboration with Buzzebees in February 2023. This allows Ocean Life customers to convert their accumulated points into YES Token coins as well.
https://www.lazada.co.th/shop/yes1234/?path=index.htm
Or, as YES has partnered with Lazada, it allows customers to shop in the YES Official Store to earn YES coins, for example. When buying JBL Bluetooth headphones for 3,070 baht, you will receive 15 YES coins back.
Features of yestoken.digital
The main highlight of yestoken.digital is that users can find opportunities for diverse and flexible returns, whether it is buying goods on an online platform that receives Tokens as incentives or lending on the platform to receive returns while maintaining Advantageous in terms of cheap interest rates for borrowing digital assets.
In terms of platform usage, it’s easy to use. Just have a Bitkub NEXT or MetaMask wallet with Bitkub Chain already added. being able to start using it which users can deposit, withdraw / borrow back Any time without any locked period As for the loan interest rate, it is considered very cheap. At the moment, the interest rate for a coin loan like KUSDC is only 0.9% (as of March 19, 2023).
In addition to the aforementioned strengths, YES Token is also certified by the Bitkub Chain, built on the Bitkub Blockchain, which is considered to be highly reliable and secure because it is a chain that has been open for a long time and is very popular in Thailand.
Finally, another highlight that cannot be mentioned is the presence of interesting business partners such as Wirtual, Buzzebees, Ocean Life, Finstable and Lazada, which creates opportunities for yestoken.digital can have a growing customer base As a result, the platform has high growth potential as well.
summarize
After the past 2022, even during the bear market It can be seen that investment in Decentralized Finance (DeFi) continues to evolve and continue to be used. Lending platforms, in particular, are one of the most highly used platforms, so lending platforms are a very attractive type of DeFi investment.
For anyone interested in the platform yestoken.digital You can follow the news on Facebook: YES Token or talk via Community Line Open Chat: https://bit.ly/3NBPbQu