Holdefi is a lending platform where users can hold their assets and receive interest or borrow tokens and repay it after a while. Like other currency market protocols, Holdefi is an Ethereum-based, open-source, and non-custodial Defi protocol. Two principal roles are supplier and borrower.
In Holdefi, to provide borrowers with better interest than competitors, a new mechanism for determining interest rates is considered, choosing each market’s borrowing interest rate. Based on this mechanism, the borrower will repay the system at a more stable rate than other platforms. The interest received from the borrowers is distributed among the suppliers according to the amount they have provided. Therefore, the supply rate will be automatically calculated based on the total supply in the protocol. This mechanism can also increase the supply rate through the promotion rate.
The borrower must add collateral before borrowing any tokens. The value of the collateral should be greater than the value of the assets they want to borrow. This collateral is, in fact, a guarantee that they will repay the borrowed assets. Each collateral can be used to borrow several different assets.
Each user earns POWER when depositing collateral. This POWER is directly related to the price and the number of deposited collateral and collateral’s value to loan rate (VTL). The collateral will remain intact until the debt is fully paid, or it gets liquidated. User collateral will not receive any interest in this protocol.
Suppose the total value of all borrowed assets on one collateral exceeds the collateral power. In that case, the collateral of the borrower can be liquidated. According to the formula below:
The remaining of the non-liquidated collateral is left for the borrower and can be withdrawn. In this situation, the debts of all users in different markets will be added to marketDebt. The liquidated collateral can be bought with a bonus in exchange for paying marketDebt.
Holdefi App has been Successfully Audited!
Holdefi has made major investments to improve security features as it gears up for launch on Mainnet. The project backers view user safety as part of their organizational culture and continually strive to meet the highest security standards.
To this end, the protocol recently subjected its smart contract to an audit by industry-leading blockchain security firms OpenZeppelin and PeckShield. The team even took a step further and cooperated with Ethereum developers for bug bounties and tests.
The OpenZeppelin was the first project code edit by Holdefi last month. The process entailed a thorough examination of the project’s code and included the scope of Holdefi, HoldefiPauser, HoldefiPrices, and HoldefiSettings.
After weeks of reviewing the code, the OpenZeppelin audit team released their final report which green-lit the Mainnet release of Holdefi.
The audit found no critical and three high severity issues in the smart contract, which were fixed, and now Holdefi App has been launched on Mainnet. The respected blockchain security company also proposed some changes to help the protocol follow best practices and reduce the potential attack surface.
The second project code audit was done successfully by PeckShield.
The auditing firm looked into the Holdefi protocol design document and code. It flagged vulnerabilities in implementing the smart contract, guaranteeing that the project is safe for investors. The protocol team was happy with the results of the audit report.
As an added security feature, Holdefi places the borrower’s collateral and liquidity provided by lenders in separate decentralized pools. This mechanism guarantees the safety of users’ collateral in the event of breaches, hacks, or other security incidents.
The pool separation also makes it possible for borrowers to withdraw their money at any time instead of having to wait for liquidity to become available, as is the case on rival DeFi lending protocols.
Holdefi is an open-source project which allows Ethereum and BSC developers to build their application on Holdefi and interact with the protocol to enrich their product. So we anticipate launching several applications on our protocol in the future.