CryptoThrust X Lendy Finance AMA
Guest: Rexyrr
So I’m Rexyrr the Co founder of Lendy Finance alongside @coine_xx! I’m a software engineer with more than ten years of experience including 5 in the crypto space. I am the core developer of Lendy Finance.
Segment 1- Project Introduction
Q1) What is Lindy Finance about?
So Lendy Finance is a decentralized and incentivized platform which enables anyone to seamlessly lend and borrow crypto assets.
At the opposite of the majority of lending platforms, Lendy Finance works in a P2P kind of way, which means that the loans, and hence the earnings, are not pooled. Every lender can choose the terms of his loan and find a borrower who accepts them. This approach enables lenders to have more predictability (as the interest rates are guaranteed), and hence to make better decisions. Indeed, traditional pooled lending platforms will usually have huge APY variation, which can lead to lenders loosing money on gas because the 15% APY announced lasted for 24 hours only.
Another huge difference between our project and the competition is that Lendy Finance will not only reward lenders with fixed and predictable interest rates, but also (and most importantly) the borrowers. Indeed, to attract more borrowers and solve the issue of the lack of borrowers discussed above, every borrower who repays his loan will receive LDY tokens as an incentive.
There are already similar projects outside of crypto, for example Twino or Peerberry, but they are centralized and thus not efficient !
Q2) DeFi has been around for quite some time. What are the issues of current DeFi projects, how Lendy finance resolves these? Please explain in detail.
Well, first let me precise that we don’t solve every issue of DeFi. We are focused on the lending platforms and their current lack of incentive for borrowers and lenders. Indeed, the trajectory of every lending platform is always the same : it launched with huge APY but with the time, more people deposit some funds to loan so the pool of diluted is diluted and lenders end up having APY close to 0 after a few weeks/months.
The same goes for the borrowers, the traditional lending platforms do not offer enough incentive to get enough borrowers. The reason is that the borrowers take a lot of risk with potential liquidation due to markets inefficiency.
Lendy fixes those two problems by creating a P2P lending platform, so the lenders can choose their interest rates (which are thus fixed and guaranteed), and we incentivize borrowers usage by rewarding them with LDY (our token) every time they repay a loan !
Q3) Please briefly tell us about LDY Token? Tell us about its Tokenomics.
LDY token is the token at the core of the project. It will be used for multiple things :
1) to reward the borrowers when they repay their loan (cf. supra)
2) to be burned with the fees collected on the platform
3) to reward liquidity providers on LDY markets
We decided to launch LDY as a faire launch, which means that all the LDY in circulation were distributed through an airdrop to the first 500 subscribers. There was no pre sale or ICO in order to avoid any kind of sell pressure. The second airdrop will take place in more or less two weeks with LDY being distributed to liquidity providers and top token holders.
The tokenomics are the following :
- Total supply : 1.5M
- Circulation supply : 256k until the second airdrop
Q4) What can we expect from Lendy finance in near Future?
As I said earlier we have some pretty dope announcements to come out soon.
First, we are about to release the beta of our platform in around two weeks.
Second, we are going to get listed on Coingecko and CoinMarketCap after we launch the beta, which should help us get a lot of visibility in the space!
Third, we are proud to announce it here for the first time but we secured a deal with quite a big deal of a centralized exchange. This will help us get more liquidity and volume. Finally, we can announce that the mainnet will be launched during Q2!
All of this will be announced in a more detailed blog post which will come out very soon! So stay tuned to @lendyfinancechan!
Segment 2- Questions from Twitter
Q1) How is Lendy Finance development going? Can you describe in detail current development efforts, market expansion plans, expected applications, and when will they become commercially available?
Lendy development is going great. We are currently finalizing the beta release which should be released around the second airdrop (29th of April).
We also made a huge progress in smart contracts drafting and the next update we will release on medium (I talked about it already) will give a preview of those smart contracts which are the core of the project. We expect mainnet launch for Q2, if there is no vulnerability or other bugs found during the audit.
We are about to release a really important update on Medium, stay tuned !
Q2) Bugs is always a problem for every project, what is Lendy Finance security measures about the bugs? How does Lendy Finance solve this problem?
That’s a really good question because we see every day people loosing money in DeFI apps because of some bugs or malfunction of the protocols.
To ensure there is no critical bug in our platform, we will first launch a beta release of the platform which should help us identifying the front end bugs /improvements.
Thereafter, we will hire an audit firm which will be responsible to audit all our smart contracts (backend) and who will draft a report with its conclusions (basically to affirm that Lendy is safe to use or not).
It’s only after this audit that we will launch the mainnet. This may take a bit more time but it’s the only way to ensure that we don’t put our users’ funds at risk.
we are currently implementing an open source and audited smart contract in collaboration with Abyss Finance which will only enable us to withdraw these tokens with a 14 days delay. This way, we cannot get any tokens without waiting 14 days and getting the community’s approval.
For now, this smartcontract is being coded so we decided to lock all the tokens until it’s done. Everyone can find the proof of lock on our blog or telegram chat!
Q3) Partnership and community are the key to the success of projects, can you tell me how Lendy Finance will expand the partnership and which markets will Lendy Finance focus on?
To begin with the target market question, we chose to build Lendy on the Binance smart chain (BSC) instead of the Ethereum blockchain for one main reason and it is to avoid the huge gas fees coming with Ethereum. Indeed, we believe that a platform like Lendy should also be available to use for all users and not only big wallets. So we mainly target the people with less funds who cannot allow to spend huge amounts in fees. The Micro finance is a huge market, especially in developing countries and we are sure we can propose a better solution than the centralized current ones !
For the partnerships question, we will try to list on our platform all the assets which have a big community, in order to get more visibility. Moreover, Lendy will enable other Dapp like DEX to integrate our lending solutions and these partnerships will definitely help us to grow !
Q4) How much interest rate is given by lenders? Recently some DeFi platform were hacked so what’s the security that you carry?
So the interest rates are chosen by the lenders, which means they can choose if they want to earn 5%,10% or even 20%. It’s to them as long as they find a borrower who wants to accept the terms (P2P). This is way better than traditional lending platforms where the loans pools are diluted.
Regarding the security, I already answered so people can take a look at my previous answers!
Q5) What’s the focus of the now? Build and develop products, win customers and users or partnerships? Are there any plans to burn or block unsold tokens? control flexibility, cost and security?
I already described the steps we will take in terms of development. We will get a lot of traction after the beta release and the mainnet happening in Q2.
Regarding the burn tokens, we decided that we would burn all the tokens of the airdrop reserve after the third airdrop (yeah, we are about to announce the third airdrop in our next medium post).
Segment 3- Live Telegram Session
Q1) Where is the roadmap for this year? Can you share with us your main priority for this year and do you have plan to list on big exchange?
So the road map is now pretty clear. We want to release the beta platform in two weeks and launch the mainnet on Q2. We will give more information to the community in our medium post, but we also have some pretty dope news about exchange listing for Q2!
Q3 and Q4 will be focused on growing the number of users by creating partnerships and enabling other Dapp to integrate Lendy protocol!
Q2) Do the token holders have right to participate in the governance of the project? On what kind of decisions can they vote on about the project?
That’s a good question. We definitely want to switch the model of governance for Lendy from centralized to decentralized. To do that, we will create a governance token which will be distributed to LDY holders. Although the project is a bit too young yet and we expect to make it happen after mainnet.
Q3) Do you have any plans to attract non-crypto investors to your project Because it is the success of a project to get more investors who are still not in the crypto world. What are the plans to increase awareness around your in non-crypto space?
That’s something we care about. Our goal with Lendy was always to give access to finance in countries where people cannot borrow funds without being exposed. Micro finance (small loans) is one of the most problematic market in emerging countries and we definitely think that we can address its issues with our decentralized platform! So yes, we will definitely create a fiat gateway to get traction outside crypto!
Q4) How can users stay updated with this project? Are there channels, including local communities where users can get the latest updates?
Please join our telegram chat @lendyfinance and most importantly our announcements channel @lendyfinancechan.
Q5) Could you please tell me just a little more about the team and some of their backgrounds? I have personally seen many projects launch with inexperienced team members, and some of those didn’t go so well due to easily avoidable mistakes.?
Both @coine_xx and I have been software developers for more than 5 years. We both worked for big companies enabling us to have some good practices when it comes to code. I have been coding for the XMR community since 2016 and I am personally passionate about blockchain. I do think that we have what it takes to make Lendy a successful project!
More Information about Lendy Finance:
Website: https://lendyfinance.app/
Twitter: https://twitter.com/LendyFinance
Telegram group: https://t.me/lendyfinance
Medium: https://lendy-finance.medium.com/
Twitter https://twitter.com/LendyFinance)
