A lot of you might know what Aada is all about but in case you don’t then you should reading this article. Aada finance is a crypto assets lending platform that allows users to deposit assets and collect interest. It is also a smart contract that gives people the opportunity to borrow assets and perform financial actions. Also, users can convert their Ethereum tokens in just a few clicks.
There are a wide variety of cryptocurrencies that you can make use of on this platform. Including that of the Cardano ERC20 converter. Aada is the first of its kind DeFi lending protocol on Cardano you can lend and earn interests. You can also borrow by providing over-collateralized assets.
One of Aada’s fundamental goals is to build trust in the project with community help. The community has grown eager for the protocol launch in the past months. As a start users will be able to trade with Aada and provide liquidity as an incentive for long-term holding of the token.
What is AADA Finance All About?
Aada finance is a non-custodial borrowing and lending protocol built on the Cardano blockchain. Compared to Ethereum competitors, AADA’s main leverage is to lower transaction fees and to also ensure better utilization of the borrowed funds. However, if you are eager to learn more about AADA finance then you should subscribe to the protocols dedicated YouTube channel.
What is the Aada Token?
Aada finance token is the ticker for AADA finance utility and governance token. It is a Cardano Native Asset and users can obtain it either in the open market or through providing liquidity. The goal is to deliver utility to the protocol by allowing users to borrow, lend, trade, and stake it. Also, token holders can get access to a share of the fees from AADA.
What is Aada V1 Lending Protocol?
The Aada V1 app is a peer-to-peer lending and borrowing protocol on the Cardano blockchain. It allows users to submit loan requests and lend assets in order book style. Here borrowers can place inquiries by setting custom parameters like asset type, loan amount, collateral, term, and interest. However, the Aada platform is an alpha version of the app.
What is Aada Finance Used for?
Aada finance is a tool that makes lending easier and much more affordable. There are so many things to use Aada for and they include the below.
- You can borrow by providing overcollateralized assets
- With very low transaction fees and the most valuable financial functionality lending, this platform is meant to attract large user adoption and token holders
- You can lend and earn interest as well
- Borrow undercollateralized ( Flash Loan)
- Swap deposited assets
Flash loans will allow users to swap and deposit assets without withdrawing and re-depositing. The Aada academy’s goal is to build a strong and vibrant Defi community employing only the highest caliber of Smart Contract developers. The platform is a link between lenders and borrowers; the mechanism implements a smart contract that utilizes deposits. In turn, it lends them out to borrowers.