Open Protocol’s public testnet comes with a wide range of features and upgrades.
DeFi platform Hashstack Finance has announced the launch of the public testnet of its Open Protocol. According to the press release shared with CryptoAdvisor, Open Protocol comes with unique services to decentralised finance users.
Hashstack revealed that its Open Protocol is the first-ever DeFi lending protocol to offer non-custodial, secure under-collateralised loans. The team believes that the launch of Open Protocol will allow DeFi users to experience first-hand how to get the maximum value out of their collateral when borrowing.
Hashstack Finance said the Open Protocol supports only major liquid coins such as BTC, USDT, USDC, BNB, and Hashstack’s native governance token, HASH, at the moment.
The team added that Open Protocol is currently the only product that allows under-collateralised loans up to 1:3 collateral-to-loan ratio. Open Protocol allows users to borrow up to $300 by providing only $100 as collateral.
Of the deposited amount, users can withdraw $70 (i.e., upto 70% collateral) while utilising $230 as in-platform trading capital. Hashstack has developed a new mechanism that enables external scalability of storage and logic of smart contracts. Thus promoting the further utilisation of the $230 locked within the protocol.
Hashstack Finance founder Vinay Kumar commented that;
“Our public testnet has attracted over US$5 million in total value locked (TVL) immediately after going live. The public testnet release marks a significant accomplishment in Hashstack’s roadmap as we prepare to launch the Open Protocol mainnent later in the second quarter of 2022.”
Hashstack said the Open Protocol public testnet comes with many features and upgrades. Some of these features include an improved user interface, a hybrid access model to improve stability and the option to switch from the centralized backend to a decentralized blockchain.
The team said by providing under-collaterised loans, implementing effective asset utilisation and providing clear compartmentalisation of APY and APR of deposits/loans with that of their minimum commitment period (MCP), Open Protocol is eliminating some inefficiencies from the DeFi ecosystem.
Hashstack is unique in that it k integrates with other DeFi solutions such as Pancakeswap to facilitate in-app market swaps and improve loan utilisation. Thus, allowing users to swap the borrowed tokens into other primary coins or secondary coins without the need to switch the dApp.