Trade Reports

EasyFi: A Layer 2 Lending Protocol for Digital Assets

EasyFi is a layer 2 lending mechanism for digital assets that is ubiquitous. An open and inclusive financial system based on the Polygon network, the most promising layer 2 solution. Polygon Network was chosen because of its compatibility with the Ethereum codebase, access to the Ethereum development community, and the ability to leverage the power of Plasma technology, on which Polygon is based.

Scalability is the first and most crucial DNA component of EasyFi, a Layer 2 solution, because it ensures that faster and cheaper transactions are incorporated into the protocol’s core, allowing EasyFi to serve a huge number of users and handle millions of transactions.

EasyFi’s purpose is to concentrate on the credit components of the protocol, allowing borrowers to quickly and responsibly acquire credit through multiple modules. Furthermore, EasyFi enables DeFi-based Insurance modules to safeguard capital suppliers against future NPAs that may arise as a result of the evolution of lending markets.

EasyFi began as a fork of Compound Finance from the Ethereum main chain to the Polygon Network in Version 1, allowing existing collateral-based secured loans to be made on Layer-2.

Key Modules & Functions

EasyFi is designed to accelerate DeFi adoption by utilising blockchain technology to enable many untouched or under-functioning financial industry functions. The following are some of the essential functions (but not limited to) that makes the protocol stand out and spearhead the adoption torch (in no particular order):

  1. Secured (Collateralized) Loans: Secured or Collateralized Loans are the industry’s essential base; nevertheless, as the business proceeds toward adoption, the sector rebalances. Similarly, one of the key services of EasyFi’s Interest Rate market protocol is secured or collateralized loans.
  2. Under collateralized Loans: In a collateralized situation, Loans will be one of the most crucial lending sector breakthroughs, enabling widespread adoption and trust in decentralised lending. EasyFi, which is linked to TrustScore (a decentralised rating method developed by Koinfox), allows the community to gain access to billions of dollars in money that may be allocated efficiently.
  3. Micro-Lending: There are billions of people in emerging nations who work solely as a result of daily time-bound small-value loans; unfortunately, these people are exploited by local financiers who charge outrageous interest rates. EasyFi Micro Loans are designed to allow customers to access small loans fast for a variety of reasons, including their small business, a medical emergency, or an early income (In case of various territories where salaries are paid in Crypto).
  4. Credit Delegation: Credit delegation is one of EasyFi’s core products for more trust-based loans, where both parties know each other or accept the level of risk by deciding on the borrower’s TrustScore. The delegation will typically be used for loans larger than a specific amount, allowing trusted companies to use the protocol to fund a variety of purposes. Short-term loans, working capital finance, invoice financing, project financing, and other use cases are just a few of the ways CD might help with adoption.
  5. Credit Default Swaps: CDS, which adds insurance to DeFi, are also essential components of the protocol, allowing lenders to convert loans, particularly those of a specific size, into tradable instruments and sell them to institutional customers ready to take on the risk. This allows for a simple form of credit insurance for the various types of loans offered through the protocol. The protocol’s CDS module aims to create a money market for various passive income-based products backed by these trustworthy high-guarantee loans that are moderated according to the risk appetite of the users.

$EASY: The EasyFi Governance token

EasyFi is happy to announce $EZ as the governance token as the first step toward achieving their end aim as outlined above. $EZ is an ERC20 standard token that strives to achieve the highest level of community participation. In the near future, expect a lengthy post detailing the EasyFi governance system as well as complete documentation.

Distributing $EASY

  • The overall supply of $EZ is set at 10,000,000.
  • Over the course of 20 months, 3,950,000 $EZ total supply will be saved for community distribution and other incentive schemes. For the first few months after the procedure goes live, a total of 1,250,000 $EZ will be allocated in a linear method as part of yield farming. The remaining 2,700,000 $EZ are held in a separate ecosystem fund that will be used for future incentive schemes.
  • 2,000,000 $EZ are allocated to the founders and team, with an 18-month vesting period. This also includes a budget for prospective team members. On month 6, 10% of the assigned $EZ will be unlocked and delivered daily for the vested term as described.
  • 2,000,000 $EZ are set aside for a basis for product development and business expansion, with a vesting period of 21 months. On month 9, 10% of the allocated $EZ will be unlocked and delivered everyday for the entire time.
  • A total of 265,000 $EZ has been set aside for the liquidity provision fund.
  • Early funders, strategic investors, and advisors of the initiative received 1,785,000 $EZ, which was vested for a period of 15 months.

The Mind Behind EasyFi

EasyFi Network’s Founder and CEO is Ankitt Gaur. He’s a global consulting expert who helps businesses all around the world embrace and benefit from cutting-edge technologies. He’s known for being on the lookout for intersections between techies and commercial applications.

He wants to help enterprises and common people grasp the possibilities of Blockchain and accelerate its adoption around the world.

Gaur is also a Blockchain Guest Faculty member at the Institute of Chartered Accountants of India, where he teaches some of the brightest minds in finance, accounting, and technology on the future of technology and work techniques.

EasyFi Fundraising

EasyFi did not have a large fundraising round, as you may have seen. They raised $300,000 from Tradfi & DeFi angels a few months ago, valuing the company at $3 million USD (Fully diluted). EasyFi’s team opted not to dilute foundation tokens for extra funds after internal conversations and learning from the ecosystem. Existing money will allow them to expand the team and develop the methodology.

Rather than harvesting their full potential from day one, their purpose is to grow alongside the community. As a result, for the first few months, their float is restricted to actual product users and a small number of angel investors. After learning from prior projects, the EasyFi team decided to devote only 12.5 percent of its time to liquidity farming for borrowers and lenders – at least for the time being. The actual community portion is around 40%, and the government can opt to expand it more if necessary. The goal is to be able to attract financing without diminishing the ownership of the company.

EasyFi also preserved a medium vesting term for early supporters, angel/strategic investors, because their team intends to hand over ownership of the protocol to the community, and a greater distribution over time only makes it more equitable for better governance.

The team is grateful to all of the early investors, including VCs, angels, strategic investors, and community members, who showed interest in EasyFi. They are grateful and modest.

Incentivization programs

A total of 1,250,000 $EZ are allotted for distribution in a linear basis for the first few months after the protocol is released. To draw initial liquidity and acceptance to the protocol, we have designed yield farming, liquidity mining, and dual yield farming activities.

For distribution, 1,250,000 $EZ will be locked into a reservoir contract. Each market receives its share of the distribution. ETH, USDT, USDC, DAI, and MATIC are the first five marketplaces that will go online soon.

$EZ Emission Schedule

In accordance with the token distribution model, this is a a detailed emission schedule:

Tokens have now been issued in accordance with the agreement, and all arrears have been paid. It’s worth noting that these newly produced tokens will be added to the circulating supply automatically.

EasyFi Partners

Over the course of 2 years, EasyFi has developed strong partnerships with some of the well-known crypto and DeFi firms having international market reputation.

They’ve done strategic partnerships with several tier 1 and tier 2 projects including BoringDAO, Blockpass, StaFi, Ramp, Polygon, Chainlink, Clover, Playcent, Math Wallet, Injective Protocol, Router Protocol, Mirror, Halborn, PancakeSwap, Tidal finance to name a few.

Ways to Buy $EZ Token

EasyFi is, indeed, a project with utmost potential. The project’s robust market value and strong partnerships gives us an impression that it’s token price, sooner or later, is going to skyrocket.

Not only this, the token is listed on some of the top tier exchanges in the crypto space, such as, Binance, Gate.io, WazirX, ProBit Global, QuickSwap, PolyDEX, Hotbit, XT.COM, etc.

You can use any of the mentioned exchanges to buy $EZ token and trade.

Stake $EZ Tokens on UniFarm

Sure, you can trade $EZ tokens on any exchange. But for those who are willing to grow their wealth with their $EZ Tokens can go to UniFarm and stake their $EZ Tokens.

When you stake your tokens in UniFarm your portfolio is automatically diversified owing to UniFarm’s unique gamified framework.

New to staking in UniFarm? We got you covered.

We’ve covered this updated How to Stake guide to help you stake effortlessly in UniFarm.

Conclusion

EasyFi is a worldwide layer 2 lending money market protocol, a fork of the compound protocol built on the Polygon Network, that enables faster and lower-cost DeFi transactions, as well as complex consumer-centric financial products, with the goal of achieving financial inclusion.

Because EasyFi believes in a community-centric approach, the protocol intends to pass over entire authority to its user community in the near future via novel governance modules. They thrive to incentivise their users for initial adoption through dual farming initiatives in conjunction with the Polygon Network, with the primary principle of value sharing to network participants.

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