Monat: Juli 2023

• Aave holders are voting on a governance proposal to convert 1,600 ether (ETH) to wstETH and rETH.
• Aave currently earns a yield of 1.69% from the ETH that it has staked on the Aave v2 platform.
• At press time all the 252,152 votes cast were in favor of the proposal.

AAVE’s Bull Run has gained momentum as AAVE holders vote on a governance proposal titled “Treasury Managemet – Acquire wstETH & rETH.” The proposal seeks to convert 1,600 ETH to equal amounts of wstETH and rETH to be held in the Ethereum Collector Contract.

AAVE token has gained in excess of 26% in the last seven days and today’s surge confirms a long-term bullish trend. The token has hit a daily high of $80.28 today although it had pulled back to $76.92 at the time of writing.

Why convert the ETH to wstETH and rETH?

The majority of the Aave DAO seems to be in agreement seeing that all the voters had voted in support of the proposal at press time. 252,152 votes have been cast so far out of the 320,000 votes required for the proposal to be actioned. But what is the catch?

Aave is currently the third-largest DeFi protocol and has a total value locked of $6 billion. The Aave DAO currently holds 1,786.51 awETH and 104.548 ETH in the Collector Contract. The awETH deposit yield in Aave v2 earns 1.69%, compared to the 3.8% and 3.13% that Aave DAO would earn if it held wstETH and rETH respectively.

If passed all the unproductive ETH balance, along with aWETH (v2 and v3) will be converted into the same amounts of wstETH and rETH for higher staking yields.

Besides the higher yields, the wrapped staked ether (wstETH) and rocket pool ether (rETH), which are liquid staking derivatives, will allow Aave to stake the tokens for a yield whilst still retaining liquidity.

The post AAVE hikes as holders vote on converting 1,600ETH into rETH and wstETH appeared first on CoinJournal.

• The DBS bank has started an e-CNY collection platform.
• The platform will enable automated settlement of e-CNY into businesses’ CNY bank deposit accounts.
• The bank is participating in Project Guardian, a project for testing asset tokenization and DeFi for traditional banks.

According to a Wednesday announcement, clients of the Singaporean bank DBS can now receive payments in e-CNY, the digital currency issued by the Chinese central bank.

The new platform enables automated e-CNY settlement into business customers’ bank deposit accounts. According to DBS, at least one client has already completed a transaction using this platform.

Singapore’s Project Guardian

Besides taking part in experiments aimed at building the infrastructure required to issue a programmable digital Singapore dollar, DBS is also taking part in Project Guardian, a project launched by the Monetary Authority of Singapore to test asset tokenization and decentralized finance (DeFi) for traditional banks.

Project Guardian involved the DeFi lending platform Aave, the decentralized exchange Uniswap, and the Ethereum scaling system Polygon. The project will also involve several traditional banks including Singapore’s DBS Bank, US-based JPMorgan, and Japan’s SBI Digital in addition to Marketnode, a digital asset platform built by the Singapore Exchange (SGX) and Temasek.

The first phase of the Project Guardian testing involved trades in tokenized Singapore dollars (SGD), Japanese yen (JPY), Japanese government bonds, and Singapore government securities and was done using Polygon, Aave and Uniswap.

The post Singapore bank DBS allows e-CNY settlements appeared first on CoinJournal.

• Bitget launched its native “Crypto Loans” product on Tuesday.
• Digital lending is expected to advance at a CAGR of 20.5%.
• Singapore and Thailand have recently banned crypto lending.

Bitget – a Seychelles-based digital assets trading platform launched “Crypto Loans” to debut in the lending space on Tuesday.

Here’s what we know so far

Its new product will cater particularly to users that are not fully satisfied with the traditional credit institutions. According to Gracy Chen – the Managing Director of Bitget:

Users now have the opportunity to stake less-demanded coins, enabling them to obtain loans in more liquid assets for investment purposes.

Each loan, as per the press release, will be coupled with a specific interest rate. Bitget did not, however, reveal the cryptocurrencies that’ll be eligible for Crypto Loans.

The news arrives only days after Bitget formally entered Turkey with a new website as part of its commitment to expand globally (find out more).

Digital lending is seeing strong demand

Digital lending is expected to grow at a compound annual rate of 20.5% between 2023 and 2032 after hitting the $8.5 billion mark last year which suggests strong demand. Chen also said today in the press release:

Bitget’s new product highlights flexibility of collateralized currency usage, enhancing capital utilization. Our flexible borrowing and repayment mechanism caters to needs of all users.

The top crypto derivatives platform is entering the crypto lending sector at a time when multiple countries, including Singapore and Thailand, have banned crypto companies from issuing loans.

Bitget did not state in its press release whether the new service will be available in the United States.

The post Bitget debuts in lending with the launch of ‘Crypto Loans’ appeared first on CoinJournal.