Dear users,
JustLend DAO has added ETH(New) as a collateralizable asset on Jul 14th, 2023 (SGT), users will be able to supply and borrow ETH(New) from that point forward. Meanwhile, JustLend DAO's existing ETH market will be renamed as the ETHOLD market and will be gradually offboarded. For more details, please refer to Add ETH(New) Market and Offboard ETHOLD Market.
Enabling Supply and Borrowing of ETH(New)
ETH(New) is a mapped Token of ETH on the TRON network, which is cross-chained from the Ethereum network to the TRON network via the BTTC decentralized cross-chain bridge. No centralized institution or exchange is involved in this process, unlike ETHOLD, which makes ETH(New) more decentralized and provides users with greater autonomy and control over their assets. Any institution and user can transfer ETH from the Ethereum network to the TRON network via the BTTC decentralized cross-chain bridge at their own discretion and without restriction.
ETH(New) Market Parameters:
The collateral factor of ETH(New) is set at 75%, and its reserve factor is set at 10%.
The ETH(New) market uses a similar interest rate model to ETHOLD. Its supply and borrow APYs at different utilization rates are as follows:
|
Utilization rate |
Borrow Base APY |
Supply Base APY |
|
0% |
2.00% | 0.00% |
|
10% |
5.00% | 0.45% |
|
20% |
8.00% | 1.44% |
|
30% |
11.00% | 2.97% |
|
40% |
14.00% | 5.04% |
|
50% |
17.00% | 7.65% |
|
60% |
20.00% | 10.08% |
|
70% |
23.00% | 14.49% |
|
80% |
26.00% | 18.72% |
|
90% |
29.00% | 23.49% |
|
100% |
32.00% | 28.80% |
Offboarding ETHOLD Market
With the opening of the ETH(New) market, the ETHOLD market will be gradually offboarded. After the proposal takes effect, in the ETHOLD market, users will not be able to supply and borrow, but can still repay and withdraw. The supply in the ETHOLD market will no longer yield any base rewards (according to the formula, the Supply APY will drop to 0), so users will have no incentive to continue holding ETHOLD in JustLend DAO.
Meanwhile, JustLend DAO will closely monitor the ETHOLD market conditions, and adjust the collateral factor and other parameters accordingly, to accelerate the offboarding process. To avoid asset losses due to parameter adjustments, users holding ETHOLD are urged to pay close attention to follow-up proposals for the ETHOLD market’s adjustment strategies, and make repayments and withdrawals as soon as possible.
Thank you for your support!
JustLend DAO
Jul 14, 2023 (Singapore time)