Key Features

DeFi Connect Credit stands out for several key features that differentiate it in the growing world of Decentralized Finance. These features are the backbone of our platform and are designed to provide traditional investors with a safe, efficient, and principled investment experience. Below we highlight these key features:

Get Funds Instantly. Keep Your Crypto.

Borrow without selling your crypto with rates as low as 0% and no extra fees. Just top up, and your credit line is immediately available.

Why Use Our Credit Lines

Get as much or as little as you want, whenever you want, with the most flexible crypto credit line out there.

Instant Approval

You are approved within seconds, and you get the funds within 24 hours in most cases.

No Installments

Pay off your balance partially or fully when you want with no fixed payment schedule.

Borrow at Just 0% Interest

Get premium rates of just 0% by becoming a Platinum client and keeping your Loan-to-Value (LTV) below 20%. It's a flexible option so that you can switch between premium rates and our standard offering.

Interest Rate on Loans

The loan interest rate depends on your Loyalty Tier, which is determined by the ratio of Native Tokens against the rest of your portfolio balance:

I. Base (No Native Tokens are needed)

II. Silver (The ratio of Native Tokens in your account against the rest of your portfolio must be at least 1%)

III. Gold (The ratio of Native Tokens in your account against the rest of your portfolio must be at least 5%)

IV. Platinum (The ratio of Native Tokens in your account against the rest of your portfolio must be at least 10%)

Please keep in mind that the interest applied to loans is compound, i.e., it is calculated on both the initial principal and the accumulated interest.

With higher Loyalty, you will get benefits on interest or withdrawal fee refunds.

Borrow and lending platform

In our lending and borrowing ecosystem, we offer a transparent and flexible interest rate structure across different tokens. Each token comes with different rates and borrowing periods, allowing users to tailor their investment strategies. Explore the options and choose the terms that align with your investment goals.

Example Borrowing and Lending rates

Liquidation threshold

This represents the threshold at which a borrow position will be considered under collateralized and subject to liquidation for each collateral. For example, if a collateral has a liquidation threshold of 80%, it means that the position will be liquidated when the debt value is worth 80% of the collateral value.

Borrow Threshold

Borrow Threshold denotes the maximum allowable borrowing limit determined by the collateral's value. It serves as an upper cap, indicating the highest amount a borrower can borrow relative to the total value of their provided collateral. For instance, if set at 80%, borrowers cannot exceed borrowing an amount that is 80% of their collateral's value. This threshold acts as a risk management measure, ensuring responsible borrowing practices and maintaining a balance between borrowing capacity and collateral value to foster a secure and sustainable lending environment for both borrowers and lenders.

Loan-to-Value (LTV) Explained

The Loan-to-Value (LTV) ratio is a financial term used by lenders to express the ratio of a loan to the value of the corresponding collateral. Otherwise, the measurement of the loan balance relative to the collateral asset's value is represented as Loan-to-Value (LTV).

Traditional lenders (e.g., banks) use your credit score, as reported by third-party credit agencies, to determine your creditworthiness. The higher your credit score, the lower the risk for the lender. To remove the credit score from the equation, you can apply for an asset-backed loan like the one offered by DeFi Connect Credit.

LTV is calculated as the loan amount in USD divided by the value of the collateral in USD, expressed as a percentage.

Example:

Loan amount: 5,000 USD

Value of collateral: 10,000 USD

Loan-to-Value = ($5,000 / $10,000) * 100 = 50.0%

Tokenization of Traditional Assets

Our platform allows the tokenization of a wide variety of traditional assets, from stocks to government bonds and other financial instruments. This means that investors can hold tokens that represent ownership of these assets, providing flexibility and global access.

Decentralized Investment Funds

Inspired by Warren Buffett's investment strategy, we facilitate the creation of decentralized investment funds. These funds are based on strong underlying assets backed by smart contracts. Investors can participate in these funds by providing liquidity in the form of cryptocurrencies or tokens.

Collateralization and Real World Asset Tokens (RWA Tokens)

We implement a collateralization mechanism for the issuance of RWA tokens. Users can deposit collateral in the form of cryptocurrency or other eligible assets on the platform. These RWA tokens represent ownership or value tied directly to real-world assets, such as properties, stock market assets, or third-party projects. By tokenizing real-world assets, users gain direct exposure to their value, breaking traditional barriers and increasing accessibility to high-value investments.

Oracles and Real-Time Asset Valuation

We leverage a system of reliable oracles to provide real-time data on the valuation of tokenized assets. This ensures that RWA token prices remain aligned with the actual market value of the underlying assets. By maintaining accurate and up-to-date valuations, the platform delivers a transparent and fair experience for all participants, fostering trust and reliability in trading and investment activities.

Ve(3,3) Decentralized Exchange (DEX) Integration

One of DeFi Connect Credit's standout features is integrating a ve(3,3) Decentralized Exchange (DEX), redefining how users interact with liquidity and governance in decentralized finance. The ve(3,3) model, pioneered by Andre Cronje, combines innovative tokenomics with a community-driven approach to create a self-reinforcing ecosystem of liquidity and rewards.

Seamless Token Swaps

The ve(3,3) DEX enables users to trade tokens effortlessly within the DeFi Connect Credit platform. Whether swapping native tokens, trading synthetic assets or participating in liquidity pools, the user-friendly interface ensures smooth and efficient trading activities.

Incentivized Liquidity and Locking Mechanisms

The ve(3,3) model rewards users who lock their tokens or liquidity positions for extended periods, creating a robust and incentivized liquidity pool. These locked tokens amplify governance power and increase reward distributions, encouraging deeper engagement and stability in the ecosystem.

Reduced Dependency on External Platforms

By integrating ve(3,3) mechanics, users no longer need to rely on external exchanges for trading or staking. DeFi Connect Credit’s ve(3,3) DEX consolidates all activities into one cohesive platform, simplifying user experiences and reducing friction in DeFi operations.

Community Governance and Decision-Making

A core feature of the ve(3,3) DEX is its community-driven governance. Token holders who lock their tokens gain governance power, enabling them to vote on:

• Pool reward allocations.

• Trading fee adjustments.

• New token listings and partnerships.

This participatory model ensures that the DEX evolves according to the community's collective vision and priorities.

Enhanced Rewards Through ve(3,3) Dynamics

The ve(3,3) model introduces a positive feedback loop where users who actively lock their tokens and participate in governance are rewarded with boosted incentives. These rewards can come in the form of additional liquidity provider (LP) rewards, governance tokens, or reduced trading fees, fostering long-term ecosystem health.

Security and Transparency

Security remains a cornerstone of our DEX. The ve(3,3) integration adheres to rigorous security protocols, including smart contract audits and encryption standards, to safeguard user assets. Additionally, the transparent nature of blockchain ensures that all transactions and governance decisions are publicly verifiable.

This ve(3,3) DEX integration represents a pivotal step in the evolution of DeFi Connect Credit, creating an ecosystem where liquidity, governance, and rewards harmonize to deliver unparalleled value to users. As we continue to refine and expand our platform, this feature underscores our commitment to innovation, user empowerment, and the future of decentralized finance.

Real World Assets (RWA) Integration

At DeFi Connect Credit, we are taking a bold step toward bridging the gap between decentralized finance (DeFi) and the tangible world by incorporating Real World Assets (RWA) into our platform. This initiative will empower users to trade tokenized representations of real-world assets directly on our decentralized platform.

What Are Real World Assets (RWA)?

RWA refers to the tokenization of physical or financial assets into digital tokens that can be easily traded on blockchain networks. These assets include:

Properties: Tokenized real estate, such as residential or commercial properties, enabling fractional ownership and liquid trading.

Third-Party Projects: Partnerships with external projects to tokenize their assets for use within our ecosystem.

Stock Market Assets: Tokenized shares of publicly traded companies, allowing users to trade traditional equities decentralized.

How RWA Integration Works

1. Tokenization Process:

Real-world assets are converted into digital tokens that represent ownership or value.

These tokens are backed by legal agreements and custodial services to ensure their integrity and reliability.

2. Marketplace Access:

Users can trade tokenized assets on our ve(3,3) DEX, benefiting from decentralized liquidity and governance.

By holding tokens, users gain exposure to the underlying assets without traditional barriers like high transaction costs or geographic restrictions.

3. Smart Contract-Enabled Transactions:

All RWA transactions are governed by secure, audited smart contracts, ensuring transparency, immutability, and accuracy.

Advantages of RWA Integration

o Accessibility: RWA lowers the entry barrier for individuals who traditionally lack access to high-value investments, such as real estate or stock market assets.

o Liquidity: Tokenized assets can be traded seamlessly, providing liquidity to markets that are otherwise considered illiquid.

o Transparency and Security: Blockchain ensures full transparency of ownership and transaction history, reducing fraud risks and enhancing investor confidence.

o Fractional Ownership: Users can purchase fractions of high-value assets, democratizing investment opportunities and enabling portfolio diversification.

o Global Reach: RWA tokenization eliminates geographical boundaries, allowing users from around the world to invest in and trade assets effortlessly.

Why DeFi Connect Credit for RWA?

Our platform combines cutting-edge blockchain technology with community-driven governance to offer a secure and user-friendly environment for RWA trading. The integration of RWA aligns with our vision to create a comprehensive decentralized financial ecosystem, bridging traditional finance with the revolutionary potential of DeFi.

Transparency and Governance

We encourage transparency on the platform by providing real-time information on portfolio assets, fund performance, and synthetic token prices. Additionally, we are considering implementing decentralized governance mechanisms that allow participants to influence key platform decisions.

Education and Support

Recognizing the newness of tokenization and decentralized finance for many traditional investors, we offer a solid base of educational resources and support. Our goal is to help users understand the concepts, risks, and benefits associated with this new form of investment.

Regulatory Compliance

We work closely with legal experts and regulators to ensure that our operations comply with applicable legal and regulatory requirements in the applicable jurisdiction. This gives confidence to traditional investors.

These key features lay the foundation for a DeFi platform that combines the strength of traditional investments with the innovation of blockchain technology. DeFi Connect Credit is designed to provide traditional investors with a safe and efficient avenue to access global assets while maintaining a focus on sound investment principles. As we move forward, we will continue to improve and expand these features to benefit our community of users and investors.