A lending protocol in DeFi is a decentralized platform that uses smart contracts on a blockchain to connect crypto lenders and borrowers without a traditional bank intermediary.
Lenders can deposit crypto assets to earn interest, while borrowers can take out loans by providing collateral, with the interest paid by borrowers going to lenders. These protocols operate on blockchain technology, automating the process of loan origination, interest calculation, and collateral management.
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🚀LENDING PROTOCOL
A lending protocol in DeFi is a decentralized platform that uses smart contracts on a blockchain to connect crypto lenders and borrowers without a traditional bank intermediary.
Lenders can deposit crypto assets to earn interest, while borrowers can take out loans by providing collateral, with the interest paid by borrowers going to lenders. These protocols operate on blockchain technology, automating the process of loan origination, interest calculation, and collateral management.