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Deswap is a Defi lending ecosystem that powers the first-ever synthetic stablecoin (YAI) built on the Polygon network.
Though the Decentralized lending Finance technology revolutionized worldwide financial services, some issues still stop users from trying it and making current users pretty vulnerable regarding gas fee and scalable issues.
The leading chains like Ethereum and Binance – whose transactions are getting slower by the day. The transactions can take up to multiple days to process, depending on network congestion and the fees paid.
Miners usually rush to validate the transaction with the highest fees first, so if you don’t invest considerably, you are sent to the back of the line and current lending defi projects wont even give some good sources of income to users even.
This is frustrating because while you have all the benefits of a decentralized network – liberation from third parties, it seems that it’s affordable just for those with big pockets.
Wouldn’t it be fairer to get access to a lending DeFi platform with faster transactions and lower costs which gives triple money to users than others? Well, this is not a fantasy because an innovative team set the wheels in motion and made their vision possible into Deswap.
What Is Deswap?
Deswap is a Defi lending ecosystem that powers the first-ever synthetic stablecoin (YAI) built on the Polygon network. The ecosystem mechanics are intended to allow a complete algorithmic money market protocol on the Polygon chain.
There are two types of cryptocurrencies that run the platform:
- The synthetic stable coin – YAI
This is pegged to the price of $1, and users will be able to mint YAI using the yTokens from the underlying collateral existent on the platform.If a user retains more than 50% of the collateral value of their y-tokens, they may borrow up to half of the collateral value remaining in their y-tokens to mint YAI. Synthetic stablecoins may be proposed to the Deswap Protocol and approved by Governance. The protocol’s default stablecoin will be YAI. This will be achieved via the use of collateral previously committed in Deswap.
- The governance token – DAW
This is their native governance token on the platform, giving users the power to vote minted YAI proposals depending on how much they contribute to the liquidity pool.
You can also use this token to provide liquidity to the platform and earn APY – an easy way to gain passive income.
Benefits of Deswap
Being built on the Polygon network, Deswap offers users a lot of benefits, including:
- Faster payments – The protocol can validate up to 80k transactions/second;
- Higher security – The chain operators are stakers and delegates in a PoS system in the Matic Network;
- Lower costs – The platform has one of the lowest gas fees due to the improved performance given by the additional sidechain layer;
- Instant liquidity – Deswap users can borrow crypto on demand;
What are you waiting for? Now you can become one of the first people who invest in the ecosystem and join the DAW. The Private pre-sale will be held on Cafeswap Launchpad – on July 9th.