Yamfore Lending and Borrowing Protocol to Integrate USDM
Since the Alonzo hard-fork, Cardano’s dApp growth has been significant. Among the variety of leading and borrowing protocols in development, Yamfore has been a notable player. Yamfore’s novel approach to lending and borrowing is designed to offer crypto-backed loans with indefinite loan terms, no margin calls, no risk of liquidation, and no ongoing interest repayment until the closing of the loan.
How is this possible? The Yamfore protocol owns the liquidity in the form of an internal stablecoin treasury, which is the foundation of the Yamfore protocol. This treasury consists of a diverse basket of Cardano native stablecoins, which are the primary medium for funding loans, enabling the protocol to sidestep conventional lending institutions.
Yamfore is a decentralized lending and borrowing protocol that offers a unique, permissionless platform for users to lend their assets or borrow against them without the need for intermediaries. With a focus on enhancing the user experience, security, and liquidity options, Yamfore will be integrating USDM, a fiat-backed stablecoin on the Cardano blockchain, to bring a new dimension to its offerings.
The Role of USDM in Yamfore
USDM (United States Dollar Moneta) is a fiat-backed stablecoin issued by Moneta on the Cardano blockchain. USDM is fully collateralized by USD reserves held in regulated financial institutions, ensuring its stability and trustworthiness. As a Cardano-native asset, USDM provides the benefits of blockchain technology, such as transparency and interoperability, while maintaining a stable value relative to the US dollar.
The integration of USDM into Yamfore’s treasury marks a significant development for both platforms. For Yamfore, USDM brings a stable, highly liquid asset that can be used as both a borrowing collateral and a lending asset. This stability is crucial in the DeFi ecosystem, where the volatility of cryptocurrencies can present significant risks to lenders and borrowers.
With this integration, Yamfore joins the more than two dozen protocols already in the process of integrating USDM into their core operations. The Cardano native token standard and the eUTXO architecture make Cardano the ideal blockchain for composable RealFi applications. With further integration, Cardano will continue to innovate and grow, presenting unique options for users who wish to maintain self-sovereignty over their financial lives.