Platform Overview
The Fringe Finance platform offers the following compelling benefits for its various participants:
Participant | Value Proposition |
Lender | Any holder of crypto assets from a wide range of tokens can act as a lender on Fringe to obtain yield. This can be individuals, DAOs or institutional lenders. Lenders do this by lending out their crypto asset holdings on the Fringe Lending facility. Fringe has a range of custom protocol designs that maximize the protection of lender assets, including non-rehypothecation of borrower collateral, an efficient liquidation model that maximizes protection of lenders' assets and a price oracle model that is resistant to market manipulation attacks. Also, Fringe's new interest rate model targets a capital pool utilization rate, which results in more predictable yield for lenders as well as a more capital-efficient use of assets to maximize lender yields. Fringe supports one of the largest array of lender assets in the DeFi market to best service the widest range of lenders. |
Borrower | Borrowers who have conviction of the upside price potential of their assets can now put them to productive work instead of just waiting idly for their price to appreciate by taking out loans within the Fringe Lending facility. Fringe supports a wide range of collateral assets and allows borrowers to borrow a wide range of capital assets. Borrowers enjoy Fringe's efficient partial liquidation model and our new price oracle model that is resistant to market manipulation attacks. Benefits for Borrowers
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Traders | Fringe Finance offers traders the ability to take leveraged positions to maximize potential gains. Traders enjoy all the benefits afforded to Fringe's borrowers listed above. In addition, Fringe leveraged trading facilities employ spot markets, which minimises price impact costs for traders when entering and existing positions. (This is as compared to many other platforms that rely on illiquid internal pools.) Fringe Amplify allows a trader to gain leveraged exposure to an asset. Fringe Margin Trade allows a trader to gain leveraged exposure to an asset pair. |
DAOs and Project Treasuries | A DAO or project treasury enjoys the same benefits as borrowers and lenders. A project can deploy their treasury onto Fringe so that they can take out loans for project expenditure or invest in new initiatives without needing to sell their project tokens. This has the additional benefit of removing from market supply the tokens they use as loan collateral, resulting in a positive impact for the price of their project token. A project can also lend out their treasury on the Fringe Lending facility. Fringe has integrated support for multisig wallets so that projects can maintain their trust minimization through the use of multisig access. |
Staker | Fringe Staking aims to offer rewards for staking of various assets to incentivize token holding and staking to benefit the Fringe ecosystem and community. Staking assets will include FRIN tokens, relevant Liquidity Provider tokens, fTokens (Fringe Finance’s interest-bearing tokens received by lenders) and others. Staking rewards will be offered variously in relation to both long-term and short-term staking incentivization schemes. FRIN token holders can opt to stake their FRIN tokens to receive rewards derived from fees collected by the Fringe Finance Platform. FRIN Stakers will also be able to participate in directing the evolution of the platform via voting for DAO proposals. |
Liquidators help keep the platform stable by liquidating positions that fall below minimum collateralization levels – and receive the liquidated collateral assets at a discount – which they can sell on the open market to realize a profit. | |
Any participant in the crypto economy who holds the USB stablecoin can deposit their USB in the USB Stablecoin Saving facility to receive interest payments. [COMING SOON] |
The Fringe Finance platform consists of the following facilities, offering different functionalities:
Live
Fringe Lending: A lending facility that accepts a wide range of collateral asset types and multiple capital (borrowing) assets. It:
Rewards lenders for depositing (whitelisted) capital assets made available to be lent to borrowers and traders.
Allows borrowers to take out over-collateralized loans against whitelisted collateral assets.
Allows liquidators to liquidate part of a borrower’s loan that falls below minimum collateralization levels.
Fringe Amplify: A leveraged trading facility that allows traders to gain leveraged long exposure to an asset in relation to its USD price.
Fringe Margin Trade: A leveraged trading facility that allows traders to gain leveraged exposure to an asset pair.
Fringe Staking: Allows FRIN token holders and other asset holders to stake assets to earn staking rewards. Fringe Staking supports multiple staking programs to incentivize users to participate in various ways within the Fringe Ecosystem. The system pays rewards to staked positions. Staking rewards are paid from the Rewards Pool for each staking program.
Upcoming
USB Stablecoin: A facility where borrowers mint and borrow stablecoins against their altcoin collateral and where USB stablecoin holders can stake USB to earn interest.
Governance: Allows a Project to apply for listing on the USB Stablecoin facility. I.e., where USB Collateral Safes accept the project’s ERC-20 token as collateral against which borrowers can mint USB.
For further description of the platform, see the Fringe Finance Whitepaper available on our homepage
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