Perlin Finance co-founder John Kim (aka 0xSeoul) joined the Neo Stay AMA collection to debate the forthcoming lending and borrowing protocol launching on Neo N3. Ten members shared rewards from a prize pool of 100 USDT.
The Perlin Finance crew goals to construct a decentralized cash market that can permit customers to earn curiosity on their cryptocurrencies. In response to the Perlin crew, the protocol creates a extra environment friendly system by utilizing algorithm-based rates of interest, drawing inspiration from established pool-based lending platforms equivalent to Compound and Aave.
Within the AMA, 0xSeoul mentioned the DeFi background of the Perlin Finance crew, why the crew opted to first launch on Neo, what differentiates Perlin from different ecosystem tasks, how Perlin will leverage different DeFi platforms within the Neo ecosystem, the crew’s give attention to consumer security, and extra.
The complete transcript is under.
Riley (Neo Telegram Admin): 0xSeoul is the crew lead for Perlin and has been constructing DeFi merchandise full-time since 2021. Beginning as an AI engineer, he has additionally led completely different growth groups throughout the thrilling DeFi vertical.
Hello, 0xSeoul. Thanks for becoming a member of us right this moment. Would you please introduce your self to the chat and share a fast overview of Perlin Finance?
0xSeoul (John Kim, Perlin Finance co-founder): Hello all! My title is 0xSeoul, and I’m the crew lead for Perlin. I’ve been constructing DeFi merchandise full-time since 2021. Beginning my profession as an AI engineer, I’ve transitioned into main completely different growth groups. DeFi has been essentially the most thrilling space to construct in.
Perlin is a Neo-native lending protocol that’s interoperable with any chain. At present, lending protocols are restricted by the fragmented liquidity in every respective chain, however our innovation comes from cross-chain composability, simplifying transactions between completely different chains and streamlining the administration and switch of belongings throughout networks.
Not solely is the switch of belongings from one chain to a different troublesome however discovering the liquidity for every asset is a big downside. We remedy this by permitting customers to switch belongings and take out loans seamlessly.
Q1: Why did you select to construct on the Neo blockchain?
0xSeoul: Now we have been following up with all the main chains. We had been significantly occupied with ecosystems that we are able to develop quick whereas rising with a robust group. Neo blockchain checked all of the packing containers.
We noticed a chance to construct the fundamental to essentially the most superior DeFi infrastructures. Although Flamingo is doing nice, it solely gives solely the rudimentary constructing block of DeFi – a DEX. Lending and LSDs are essentially the most pure steps we plan to develop aggressively into.
Additionally, we cherished that constructing on Neo is possible and doesn’t lower the benefit of entry for normal DeFi devs. We are able to construct on any language, so we didn’t see many opponents coming in to compete for a similar pie right here.
Q2: What’s your advertising plan? What’s your go-to-market technique?
0xSeoul: Now we have completely different methods in place as we converse. The primary is the referral program – the best and well-known advertising plan in Web2 and Web3. When you consult with our venture on Twitter, you’ll achieve factors by way of clear and easy calculations based mostly on the referral counts and Tweets on Perlin.
The factors are significantly necessary for customers who need airdrops and are using the protocol. people can discover extra details about the marketing campaign on the Perlin Finance web site.
Now we have seen immense progress in energetic customers with this system. We encourage everybody to take part early and reap the awards! Our second focus shall be on video content material. When you go to our Twitter, you will notice extra progressive video content material transferring ahead. Comply with our official Twitter for instructional DeFi shorts and distinctive video content material!
Q3: DeFi merchandise are troublesome for common customers to make use of. How do you propose to resolve this downside?
0xSeoul: We perceive that DeFi is extraordinarily onerous to make use of for the time being. For instance, even the most important lending protocol, Aave, doesn’t provide good UX, the place customers intuitively know what’s what and perceive the data thrown at them.
We predict deeply about easy methods to make the consumer expertise extra accessible and enjoyable on the identical time. One factor that units us other than different protocols is that we all the time attempt to embody an entertaining and visually pleasing expertise.
I feel it’s what differentiates Web3 from Web2 too. We’re not right here to get the quickest expertise, however we’re right here to benefit from the course of. Nonetheless, we give attention to nice UX and UI that make the product accessible to everybody.
This autumn: How are you constructing a group round Perlin Finance?
0xSeoul: We give attention to the precise protocol customers. The present campaigns are directed at buying airdrop hunters and mercenary liquidity suppliers. Nonetheless, we have now a particular agenda to incorporate the Neo and Flamingo customers first, and on to customers from completely different chains with our omnichain enlargement.
Now we have large plans for mass adoption, nevertheless it’s a bit early to disclose as we nonetheless haven’t reached the second step but.
Notice that we’re all the time interested by the following steps and the steps after these. Neo will all the time be our house, however the protocol doesn’t need to be restricted to at least one chain within the multichain ecosystem.
Q5: What downside is Perlin Finance aiming to resolve particularly?
0xSeoul: Perlin Finance is a permissionless DeFi lending protocol that permits lenders to earn curiosity from their crypto holdings. The deposited belongings are held in good contracts generally known as liquidity swimming pools, and rates of interest are adjusted algorithmically based mostly on provide and demand.
The protocol is constructed on good contracts, which automate the calculation of rates of interest and issuance of loans, eliminating the necessity for intermediaries. At its most elementary stage, Perlin Finance serves as an open market the place lenders meet debtors with out third-party intervention.
Merely put, Perlin Finance permits customers with crypto belongings to deposit as lenders and for debtors to take out loans. The protocol is constructed with good contracts that mix the belongings supplied by lenders into liquidity swimming pools for every supported cryptocurrency. On the protocol, debtors can take out funds from any of those liquidity swimming pools however indirectly from lenders.
Anybody with entry to the web can lend or borrow from the platform. As well as, the protocol bypasses a lot of the processes concerned in taking out a standard mortgage. All customers want are the crypto belongings and one among Perlin’s built-in pockets purposes.
We use good contracts to handle the belongings lenders deposit to the liquidity swimming pools. The worth of every asset within the liquidity pool is fed into the protocol utilizing our oracle and Flamingo’s worth oracle that sources asset worth knowledge from varied exchanges and LPs.
The protocol makes use of algorithms to trace the altering provide and demand of crypto belongings to resolve the rate of interest for every asset based mostly on the liquidity out there. The upper the borrowing demand for a selected crypto, the upper the rate of interest.
Q6: What measures have you ever carried out as a platform for lending and borrowing to stop borrower fee defaults? And the way are you higher than different crypto companies and standard banking corporations at making lending handy for folks? How is curiosity discovered?
0xSeoul: We are going to all the time over-collateralize the loans and liquidate as soon as the asset worth is under a threshold. This course of undergoes a time-tested and dependable implementation that Aave and Compound use.
Crypto lending is essential for DeFi customers, as we can’t get liquidity with out promoting the tokens we need to HODL. For instance, we don’t need to promote NEO however could also be in want of money to pay hire or purchase a TV. No standard establishments will settle for NEO as collateral and lend you fiat foreign money. As a substitute of promoting crypto, customers can make the most of the protocol to set NEO as collateral and get a mortgage.
The protocol makes use of algorithms to trace the altering provide and demand of crypto belongings to resolve the rate of interest for every asset based mostly on the liquidity out there. The upper the borrowing demand for a selected crypto, the upper the rate of interest.
Q7: Are there any partnerships or collaborations that Perlin has established to strengthen its place out there? What are Perlin’s essential targets and goals relating to market enlargement and adoption?
0xSeoul: Large partnerships are brewing, however we’re ready for the proper time to announce our backers and massive companions that assist make omnichain lending attainable. Keep tuned!
For progress, we’re focusing on omnichain enlargement. Our crew is very geared up to construct on each EVMs and non-EVMs, not like the typical DeFi builders. New chains and previous chains that lack primitive DeFi infrastructures, and the main ones are our targets for enlargement. Take into account leveraging the ever-growing Aptos, Sui, and Layer 2 customers with liquidity from brownstones, like Neo and Ethereum.
Q8: Are you able to elaborate on the position of Perlin’s crew and their experience in creating and sustaining the protocol? What are a number of the potential dangers or challenges that Perlin could face out there, and the way does it plan to mitigate them?
0xSeoul: We’re skilled DeFi builders, and many people have been constructing crypto merchandise since 2019. Now we have designed and developed solely new protocols from scratch and dissected present ones, like Compound and Aave. Designing tokenomics and making partnerships within the area are our experience from years of expertise.
Nonetheless, as with all DeFi merchandise, safety is our greatest concern. We all know there are all the time dangers of exploitations relating to good contracts, and we dive deeply into the protocol with skilled auditors and white hackers. We received’t launch on MainNet till we are able to confidently reveal our product to the customers.
Q9: What’s the plan for the lending protocol? How do you propose to distinguish from different venture lending protocols like Flamingo Finance on the Neo blockchain?
0xSeoul: Flamingo Finance is a superb companion of ours, and the crew has been making significant improvements on Neo for a few years. Flamingo’s new FUSD lending protocol is just like MakerDAO’s DAI, whereas our product is extra just like Compound and Aave.
Now we have fully completely different merchandise focusing on completely different consumer bases. Additionally, we should work with Flamingo to liquidate the belongings – so we’re not competing however working collectively to construct Neo. Customers who need to swap their belongings will go to Flamingo, and customers searching for to lend crypto or stablecoins will come to Perlin.
Q10: Are you able to clarify the method of auditing and testing that Perlin Finance undergoes to make sure the reliability and robustness of its good contracts?
0xSeoul: We are going to first work with Red4Sec, a famend auditing agency for Neo tasks, to endure rigorous testing and good contract audits. Nonetheless, we all know that we can’t be too positive solely with an auditing agency, so we rent white hackers to check the protocol on all facets on Neo. We are going to conduct bug bounties and testing on the TestNet till we are able to confidently launch on MainNet.
Lastly, we differentiate ourselves from our ecosystem companions by conducting unit testing on our contracts. That is the tooling innovation we’ve made since coming to Neo. Different tasks wishing to return onboard on Neo can make the most of our testing software to see if the protocol is protected.
Notice: Some edits have been made for formatting and readability.
Your complete dialog might be discovered on the hyperlink under:
https://t.me/NEO_EN/266365
