Welcome to a new era of $MONEY
Tl;dr
$MONEY is USD, over-collateralized CDP-based money to travel with you across the EVM.
Licensed fork of crvUSD featuring greater collateral options.
LLAMMA liquidation allows for greater stability and leverage.
Protocol Architecture Advancements
Increased Utility | Streamlined leveraging, accompanied by a simple UX for users.
Increased Composability | Redeposit LP tokens into other protocols, earn additional yield.
Increased Collateral | A broader collateral profile provides atypical scalability.
Increased Yield | Minting and repayment, along with monetary policy.
A safe, censorship resistant, and borderless alternative is here.
Protocol Impetuous & Overview
Scalability is a hurdle all decentralized stablecoins face… is there enough collateral and liquidity to mint new stable coins? This dynamic has challenged the space for years but fear not my dears… a solution is here. Defi.money is an EVM agnostic offering a capital efficient, scalable, and truly interoperable USD stablecoin for anyone, anywhere.
Utilising a novel liquidation mechanism first pioneered by Curve Finance (LLAMMA), defi.money is capable of providing a borrower-friendly, less volatile alternative to forceful liquidation processes typically implemented on other borrowing platforms. Users can unlock liquidity from a broader range of collateral types, across the entire EVM ecosystem, dissolving the barriers between chains and creating a new global liquidity layer.
With autonomy under threat, a DeFi native means of exchange money is here - a stablecoin built to sustain us in a new era.
Introducing $MONEY
$MONEY unifies liquidity across the entire EVM, dissolving borders between chains and giving users the freedom to borrow outside of a single ecosystem - purpose built to seamlessly access capital anywhere.
Capital efficient by design, $MONEY leverages Curve’s innovative liquidation mechanism dubbed LLAMMA (Lending-Liquidating AMM Algorithm) to offer a range of benefits over current borrowing protocols including higher LTV, soft liquidation, more collateral options while offering a unique EVM agnostic UX for end users.
Liquidations play a vital role maintaining protocol solvency by eliminating bad debts on time, LLAMMA’s unique design optimizes liquidation leading to a safer protocol with higher LTV while improving the overall borrowing experience and utility for end-users.
Soft liquidations is a concept that is achieved by turning the borrowing position into an LP position (volatile asset and stablecoin pair) in a special-purpose AMM that gradually rebalances as prices fluctuate. Compared to instantaneous liquidations, the LLAMMA mechanism limits potential losses faced by borrowers, reduces liquidation fees, and limits the risk of accumulating bad debt borne by the protocol.
Defi.money’s markets are isolated, this enables tight parameters for each collateral accepted allowing for more efficient borrowing, improved security and more collateral options to be added.
Addressable Market & Scalability
Stablecoins underpin the blockchain ecosystem, providing a fast, efficient, borderless and stable way to transfer value across the blockchain. For any truly decentralised financial system to work at scale, a stable asset not reliant on legacy banking infrastructure is required.
However, decentralized stablecoins face constraints inherent in their design, needing to navigate a delicate balance between price stability, capital efficiency, and decentralization. This has resulted in the current stablecoin landscape, characterized by:
Fragmentation: Liquidity dispersed and isolated across different blockchain networks.
Inefficiency: Leading decentralized stablecoins require high collateralization factors.
Rigidity: Limited utilization of collateral in emerging ecosystems.
The demand for stablecoins is already substantial, with a total addressable market over three (3) trillion USD in the next five years. To further expand the adoption of stablecoins, we must reimagine decentralized stablecoin solutions user experience, especially as we conscript users who are increasingly less crypto-native.
Looking Forward
We come from a long lineage of Llama’s, so it's in our genes to deliver great products to space and defi.money aims to be a ubiquitous decentralized stablecoin in DeFi. Standing on the shoulders of giants, we are here to rebalance an inequitable world and it starts today - get involved and stay updated here.
Upwards and onwards
About defi.money
A NEW ERA OF $MONEY
