Introducing Moma Lending Pool
Pool Builders can upgrade their Launch Pool to Lending Pool, simply by switching on the Borrow function to enable the oracle’s real-time price feed.
Lending Pool is a smart contract suite that can be produced by the Moma factory. This suite can implement all the existing functions of the Defi lending leader-Compound; that is, deposit one Token and lend another Token at a certain staking ratio. Therefore, Moma has the ability to produce an unlimited number of Compounds, which can help all users who want to operate a decentralized over-collateralized lending platform by themselves.
Why do we need so many Lending Pools like Compound?
As Compound has only supported 9 tokens since its launch, it is obviously far from demands to support the token scale of the entire blockchain world. In this situation, why does Compound not list more coins to support this massive demand like the exchanges? This is because that the more tokens in a single lending pool, the more difficult it is to manage and control its risks. Each introduced token literally increases the risk of the entire pool.
Which simply means, that for a single lending pool model, the price of a certain token will be manipulated result in the security threat of other assets in the entire pool. Therefore, Compound is conservative in increasing the supported tokens and only selects those assets with higher liquidity, lower volatility, and that are not easily manipulated by prices. This greatly reduces the risk, but at the same time, there is no way to satisfy the borrowing needs of more long tail assets.
However, with the model of Moma’s factory, it means that we will introduce more diversified lending pools through methods of creating by third parties, for example, Satoshi Nakamoto lending pool supports lending of Bitcoin, BCH, and BSV; Vitalik lending pool supports lending of ETH, ETC, and Link.
In this case, users who hold BTC can deposit and lend BTC through the Satoshi Nakamoto lending pool, while depositors in the Vitalik lending pool do not have to worry about the potential risks of the BTC lending pool. This is because that each pool is independent. Through Momo, both star pools that support mainstream tokens and grassroots pools that support small tokens can be built. The borrowing needs of various assets will be met through the combination of these pools.
What are the benefits of building a lending pool?
1. It can support the lending of custom assets
2. Rewards income can be obtained from the borrowing behavior of the lending pool
3. You can farm $MOMA through operating a lending pool
Therefore, you can support the lending liquidity of your own project’s token by creating a self-built lending pool for any projects, which can create more liquidity value for the project’s token holders. Indeed, such a large token holder of the project can create a lending pool by himself to achieve the same purpose. Moreover, this lending pool can also generate interest income and Moma farming income for the project. So why not do it?
Besides, the Launch Pool is used for community startup. After the startup process is completed, the Launch Pool can be upgraded to the Lending Pool very smoothly. It will not only avoid wasting the traffic and assets brought by the startup but also allow the users that obtained the project token to participate in the lending pool.
Not only the projects, but also investment institutions, exchanges, and community leaders can become Moma’s lending pool creators; because this will bring in more revenue, farm more Moma, and increase influence.
Contact Moma Finance
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Official Website:https://Moma.Finance
