Cosmos-based DeFi lending protocol Nolus joins Cointelegraph Accelerator

Crypto lending has grown to be a key component of decentralized finance (DeFi), allowing individuals to loan and borrow digital resources through protocols created for that purpose. By using crypto lending, people can put their crypto assets up as collateral and then get a loan in fiat or stablecoin. Instead of relying on traditional intermediaries such as banks and credit unions, DeFi lending protocols function straight on a blockchain. Smart contracts manage each loan or borrowing, and the interest rates are determined by the supply and demand on the blockchain.

It is predicted that the DeFi market will reach a value of $231 billion by 2030, with lending protocols being a major factor in its expansion. The CoinGecko research report states that lending has a market share of over 11% in the DeFi sphere, and is one of the five largest DeFi sectors. People are drawn to DeFi lending protocols to avoid having to sell their crypto assets, which they anticipate will rise in value.

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The proportion of DeFi categories by market cap of tokens, according to CoinGecko.

Despite its potential for expansion, there are several elements that impede the usefulness of crypto lending. Principally, users must pledge more value in crypto as security than what they are looking to borrow. This is a widespread practice, both for centralized and decentralized loan providers, to evade dangers connected to the liquidation of funds due to unexpected decreases in the value of collateralized tokens. Platforms tend to provide financing up to 50% to 60% of any collateral deposited.

The complexity of the lending process is a hindrance for many Web3 users, as DeFi lending solutions require a technical understanding which may befuddle even experienced traders.

Upon obtaining $2.5 million in pre-seed and seed financing, the Cosmos-based DeFi protocol Nolus joined the Cointelegraph Accelerator program with the goal of making crypto lending accessible to the everyday user. To tackle the problems with the existing DeFi lending sphere, Nolus Protocol recently unveiled DeFi Lease.

DeFi Lease allows users to get up to 150% financing on their initial investment, which is almost triple the amount offered by the average crypto lenders. At the same time, users retain ownership of their asset. Moreover, the total cost of financing and transactions is lower than the market average, enabling Web3 users to obtain a greater quantity of their desired digital asset than their current equity balance without having to worry about complicated formulas or confusing lending fees.

Apart from DeFi Lease, Nolus functions as a non-custodial financial platform for Web3, allowing users to control all their digital resources and buy, sell, trade, or invest their cryptocurrency. In May, Nolus launched its mainnet successfully and anticipates a completely functioning protocol going live next week.

In 2023, the Cointelegraph Accelerator program was launched to help Web3 projects reach their full potential. Through joining the program, Nolus will be able to showcase its groundbreaking crypto lending service to the wider Web3 community, drawing users from other blockchains and wallets to its Cosmos-based chain to take advantage of its DeFi protocol through a straightforward interface. As a participant in the Cointelegraph Accelerator program, Nolus’s goal is to become the go-to destination for Web3 users to park all their crypto transactions.

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