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5 Causes Why RiFi Is Going To Change the DeFi Lending Ecosystem

06/03/2021

Rikkei Finance ($RIFI) is the final word lending resolution that’s scalable and user-friendly. Rikkei Finance is an all-inclusive monetary platform that boasts excessive efficiency and effectivity. RiFi improves the DeFi lending ecosystem by means of sustainability, interoperability, range, community-centered method, and its core system.

Sustainability

 The stable imaginative and prescient of the RiFi crew from the early stage is to construct a lending protocol that prioritizes sustainability. It’s true that lately there are numerous assaults in numerous sizes focusing on completely different DeFi protocols on BSC. They exploit a number of weaknesses of the protocols, typically together with (1) Bugs in supply code, (2) manipulating the token worth, and (3) awful threat administration management mannequin. Rikkei Finance applies a number of strategies to make lending simple and safe in any respect levels.

Rikkei Finance employs the multi-kinked rate of interest mannequin reasonably than the normal linear rate of interest mannequin. The energy of the multi-kinked mannequin is that it will probably deal with the stress level of a excessive utilization price (Ut). At that time, the borrowing demand considerably will increase, and all customers borrow on the most. Because of this, if the market witnesses a major worth correction, it would create a mass liquidation impact, immediately lowering the liquidity of the protocol and making the system unsustainable. RiFi’s method is to extend the curiosity borrowing price significantly to attenuate threat and restrict borrowing presently.

Rikkei Finance ensures system sustainability by means of a clear 5-phase asset choice course of, which incorporates: (1) Information crawling, (2) Filter, (3) Liquidity measurement and Rating, (4) Evaluation and Asset choice, and (5) Asset addition.

Asset information is collected every day by means of information crawling. The property are assessed of their potential to fulfill the minimal standards by way of market cap, quantity, the ratio of circulated to whole provide, and different components. The property are filtered into section 3 for liquidity measurement and rating. The highest-ranking property would then be additional analyzed and entered into the voting part earlier than being formally added to the pool.

The core worth of the asset choice course of is that property can be evaluated utilizing a self-developed Liquidity Rating System, making certain that solely probably the most liquid property are allotted to the pool, minimizing the chance of market manipulation.

RiFi applies a high-standard threat administration mannequin, which incorporates strictly monitoring collateral components; setting limits for one-time withdrawal; freezing the provision/borrow when there may be an assault, and using advanced worth oracles.

Skilled events will audit RiFi’s supply code. There’ll quickly be a bug bounty program with extraordinarily excessive worth as effectively.

Interoperability

Rikkei Finance’s founders set a laser-like concentrate on creating a core product – the lending system reasonably than an enormous ecosystem with none high-quality merchandise. Due to this fact, RiFi is designed for simple integration into numerous programs, starting from monetary administration platforms, reminiscent of chilly wallets or gnosis secure, to NFTs market programs and even insurance coverage protocols.

Variety

Rikkei Finance will proceed to reinforce and pioneer in supporting various kinds of collaterals, BSC property, multi-chain property, token-based collateral, and most particularly NFTs and LP tokens.

By way of NFT, Rikkei Finance will associate with different top-tier NFT marketplaces to ship Peer-to-Peer NFT lending, permitting RiFi to make the most of the prevailing person base with out spending efforts on educating clients. This Peer-to-Peer NFT lending system additionally eliminates dangers related to the protocol, particularly when a gaggle of customers can simply manipulate NFT’s worth.

Neighborhood-centred

RiFi is a safe system that can be user-centric, enabling customers to reap the utmost returns when taking part in our protocol.

RiFi’s multi-kinked rate of interest mannequin makes borrowing much less cost-prohibitive in intervals of low utilization price by reducing the rate of interest to extend borrowing demand whereas sustaining liquidity offering incentives with token rewards.

Moreover, Rikkei Finance will collaborate carefully with the insurance coverage protocol to provide our customers the first-ever liquidation protection, defending them in opposition to sensible contract hacks and asset liquidation.

Sturdy core crew

Rikkei Finance’s stable core crew is its secret behind its potential to perform. The crew is backed by Rikkeisoft, one of the respected IT firms in Vietnam. With a pool of 1300+ skills, Rikkeisoft supplies monetary help, workforce and authorized help. Rikkei Finance additionally has secured investments from notable long-term buyers, together with Signum Capital — the Main Investor of the undertaking, HyperChain Capital, Kyber Community, PNYX Ventures, X21 Digital, Tomochain, LD Capital, Kernel Ventures, Kyros Ventures, Coin98 Ventures, YBB Basis Restricted, Ark Stream Capital, Inclusion Capital, and Fundamentals Capital. Rikkei Finance is assured to raise scalability and DeFi lending adoption to an entire new degree.