All termsDeFi and RWA IntegrationWorth knowing
Lending Protocol
A lending protocol is a blockchain based system that facilitates lending and borrowing using smart contracts. Depending on the design, users may supply assets, borrow against collateral or participate in lending markets according to rules encoded within the protocol.
Why it matters to you
RWA integration can allow certain tokenized assets to participate in blockchain based credit markets. However, using an RWA through a lending protocol can combine traditional financial risks with smart contract, oracle, liquidity and other blockchain related risks.
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