Friends, good morning, a daily article, check-in, the recent market has been rising sharply, everyone is paying attention to rates and capital flow, the market is indeed quite hot.
I have been looking at the underlying structure of the lending pool these past two days. When you earn interest in DeFi, have you ever seriously thought about — who is actually backing your returns?
Today, the RWA DeFi summit of the Hong Kong Web3 Festival is being held, @TermMaxFi has brought tokenized stocks like SPY and NVDA on-chain, and I went through the entire lending logic again. The old model of over-collateralizing and mixing pools essentially mixes all risks together. Low volatility assets cushion high volatility ones; it seems fair with a unified rate, but it actually makes those who understand the risks pay for those who do not. When something goes wrong, the entire pool suffers.
#TermMax This time it has been quite solid, with each collateral having a separate market. If you play SPY, you are only responsible for SPY; if you play NVDA, you bear its volatility yourself. There’s no mixed pool, and the joint risk is eliminated.
With such stable assets, borrowing costs are lower, while volatile ones have to pay a higher premium. Finally, risk aligns with price, and the market has become more genuine.
I looked at the on-chain data; their TVL has stabilized around 63 million USD, mainly concentrated in B², with Ethereum as a supplement. This money hasn’t chased those floating rate peaks but has instead stayed in more reliable places. Everyone is voting with real money, selecting certainty.
Lending should not be a blind box. You need to be clear about who you are lending money to, where the risks are, what the interest rate is, and when it expires. Fixed terms like 14 days, 45 days, and 75 days lay out the cash flow clearly, allowing you to take charge yourself.
DeFi opened the threshold a few years ago, and now this round is about solidifying the structure. Whoever dissects the risks more finely will be able to keep the money longer. The pool should not decide your fate; you should.
I have been looking at the underlying structure of the lending pool these past two days. When you earn interest in DeFi, have you ever seriously thought about — who is actually backing your returns?
Today, the RWA DeFi summit of the Hong Kong Web3 Festival is being held, @TermMaxFi has brought tokenized stocks like SPY and NVDA on-chain, and I went through the entire lending logic again. The old model of over-collateralizing and mixing pools essentially mixes all risks together. Low volatility assets cushion high volatility ones; it seems fair with a unified rate, but it actually makes those who understand the risks pay for those who do not. When something goes wrong, the entire pool suffers.
#TermMax This time it has been quite solid, with each collateral having a separate market. If you play SPY, you are only responsible for SPY; if you play NVDA, you bear its volatility yourself. There’s no mixed pool, and the joint risk is eliminated.
With such stable assets, borrowing costs are lower, while volatile ones have to pay a higher premium. Finally, risk aligns with price, and the market has become more genuine.
I looked at the on-chain data; their TVL has stabilized around 63 million USD, mainly concentrated in B², with Ethereum as a supplement. This money hasn’t chased those floating rate peaks but has instead stayed in more reliable places. Everyone is voting with real money, selecting certainty.
Lending should not be a blind box. You need to be clear about who you are lending money to, where the risks are, what the interest rate is, and when it expires. Fixed terms like 14 days, 45 days, and 75 days lay out the cash flow clearly, allowing you to take charge yourself.
DeFi opened the threshold a few years ago, and now this round is about solidifying the structure. Whoever dissects the risks more finely will be able to keep the money longer. The pool should not decide your fate; you should.