HomeNewsOrby Network Revolutionizes Crypto Lending with Interest-Free $USC Borrowing on Cronos

Orby Network Revolutionizes Crypto Lending with Interest-Free $USC Borrowing on Cronos

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  • Orby Network, operating on the Cronos blockchain, announces interest-free borrowing of $USC, enhancing liquidity and capital efficiency in the DeFi space.
  • The innovative move, a first for Cronos, aims to stimulate economic activity and offers users opportunities to engage in the ecosystem without the burden of fluctuating interest rates.

Orby Network, a prominent player on the Cronos-based EVM blockchain, has officially launched interest-free borrowing of its native stablecoin, $USC. This significant move positions Orby at the forefront of the decentralized finance (DeFi) sector, offering unparalleled opportunities for users to leverage their digital assets.

At its core, Orby is a rapidly emerging platform where users can employ selected cryptocurrencies as collateral to generate and borrow $USC. This recent introduction of zero-interest borrowing is set to deepen liquidity on the Cronos network, fostering greater capital efficiency for Orby’s user base.

$USC stands as an overcollateralized stablecoin, closely pegged to the US dollar, serving multiple purposes: a store of value, a unit of exchange, and a unit of account. Borrowers of $USC maintain control over their crypto assets, benefitting from any potential appreciation in value, while simultaneously utilizing $USC across various ecosystem activities.

Shift in Lending

Typically, DeFi lending platforms implement interest rates ranging from 2-6% for stablecoin borrowing. The longer a stablecoin is held, and the higher the borrowing utilization, the more interest accumulates.

Orby’s strategy to facilitate interest-free borrowing disrupts this norm, especially on the Cronos network. It enables users to borrow $USC indefinitely without the constraints of ongoing interest payments, a move aimed at stimulating enhanced economic activity on the network.

With the roll-out of this feature, Orby participants can deposit select crypto assets into the protocol as collateral to secure $USC loans. Additionally, they can accrue liquidator fees by contributing $USC to Orby’s Stability Pool. The primary cost involved is a one-time borrowing fee, payable only upon repayment of the borrowed $USC. Similar to other over-collateralized lending systems, maintaining the health of the debt position is crucial to avoid liquidation.

Orby’s Role in Cronos’s Growth

Selected for the third cohort of the $100M-backed Cronos Accelerator Program, Orby Network is recognized for its potential to foster innovation within the Cronos ecosystem. This program, catering to early-stage crypto projects, provides essential mentorship and funding, promoting the wider adoption of Web3 technologies.

Charlotte Kapoor, Head of Innovation Programs at Cronos Labs, highlights the significance of Orby in the evolving DeFi landscape on Cronos. The introduction of interest-free $USC borrowing not only cements Orby’s position within Cronos DeFi but also unlocks new financial avenues.

Cronos Labs remains committed to equipping Orby with the necessary tools to develop innovative products, thereby enriching the user experience in this latest accelerator cohort.

Orby Network stands as a decentralized stablecoin lending protocol on the Cronos blockchain. It enables users to deposit crypto assets and borrow $USC without the burden of high or unpredictable interest fees, fostering productive deployment of digital assets and engagement with DeFi opportunities on Cronos.

For further details, please visit Orby Network.

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AnnJoy Makena
AnnJoy Makenahttps://www.ethnews.com
Annjoy Makena is an accomplished and passionate writer who specializes in the fascinating world of cryptocurrencies. With a profound understanding of blockchain technology and its implications, she is dedicated to demystifying complex concepts and delivering valuable insights to her readers. Business Email: info@ethnews.com Phone: +49 160 92211628