ADALend is a Cardano-based lending platform.

 

Cardano has a high demand for DeFi

ADALend is the first lending protocol to arrive on Cardano, amid a wave of new blockchain protocols gaining traction in the DeFi space. With the ADA token already in high demand, DeFi on the blockchain-enabled smart contracts resonates well with investors. ADALend's seed round and its native ADAL token were 400% oversubscribed.

What services will ADALend provide?

Users of ADALend will be able to lend on any token pairing, as long as there is liquidity. As a result, the lending protocol will motivate users to give liquidity to their assets by rewarding them with the native ADAL token.

The ADAL token grants users voting rights on governance initiatives as well as the ability to propose new ones. They hope that the platform will eventually become a foundation layer for the larger Cardano ecosystem, attracting assets and empowering developers to create a financial product ecosystem.

DeFi isn't going anywhere.

After the DeFi summer of 2020, the technology will have proven its worth to both investors and users. Consumers can use decentralized finance to swap tokens or lend money using on-chain collateral. The DeFi market had a total Total Value Locked (TVL) of just over $11 billion a year ago, but that figure has now risen to more than $110 billion.

Cardano's native ADA token, with a market cap of $69.2 billion, is one of the top five largest cryptocurrencies on the market. Because of its fast and cheap transactions, as well as its environmentally friendly Proof-of-Stake blockchain consensus mechanism, the blockchain aspires to become a decentralized financial instrument for everyone.

 

As DeFi makes its way onto Cardano, we could see billions of dollars of value flow into this new DeFi market. ADALend aspires to be the primary lending protocol on the Cardano blockchain, which has only recently launched smart contract functionality.