The team of Lendefi, a protocol delivering leveraged trading and secured lending for cryptocurrency markets, today announced that its protocol has now been deployed on the Binance Smart Chain testnet. Utilizing an undercollateralized loan model, Lendefi facilitates a trustless relationship between lender and borrower, managed by the protocol to remove counterparty risk.
“This milestone takes us closer Lendefi closer to its mainnet release on the Binance Smart Chain, currently scheduled for July 12th. As we cross the milestone of the testnet launch; we’d like to take this opportunity to thank our community for the support they have given us over the previous months.”
– The Lendefi Team
Recent accomplishments & notes leading to testnet:
The Binance Testnet Launch
Blockchain Labs Asia (BLABS), Lendefi’s protocol developers, are currently smoothing out several issues related to the testnet environment. Once these issues are resolved, BLABS and Lendefi will start to perform stress and functional testing of the user interface. The testnet will then be opened to invited testers before eventually being opened to the public.
Protocol Security
An important pillar of Lendefi’s three-pronged approach to protocol safety includes an ongoing audit, the testnet period, and an upcoming bug bounty.
- Lendefi has already assigned an auditor and provided them with the protocol’s smart contracts for auditing. This will ensure that a reputable auditor has analyzed the smart contract code to check there are no weaknesses to exploit. The results of the audit will be released before or upon mainnet release after the audit is complete.
- This current testnet will allow Lendefi to further stress-test the protocol for weaknesses and load.
- An upcoming bug bounty program will reward individuals for identifying system weaknesses.
The combination of these three security approaches will ensure that Lendefi is actively pursuing the highest possible level of security for protocol users.
Binance Smart Chain
The Binance Smart Chain operates in tandem with Binance’s native Binance Chain. BSC was launched at the end of 2020 to bring added function to the Binance Chain, such as the inclusion of smart contracts. Recently, the Binance Smart Chain has become increasingly utilized due to its low fees and speedy transactions. Given the recent rise in Ethereum’s gas fees; Binance has become popular for new projects. Lendefi will leverage these advantages to provide a more cost-effective and dynamic experience for users.
Value Of LDFI Tokens
Going forward, the launch of Lendefi onto the mainnet will change the value proposition of native LDFI tokens. The tokens will cease to be a speculative investment and take their value from the voting rights they acquire as Lendefi moves to the implementation of a Decentralized Autonomous Organization (DAO). Owners of LDFI tokens will have access to voting rights that impact the governance of the DAO. This will make LDFI tokens valuable to participants of the leveraged trading and undercollateralized loan markets.