#OnChainLendingSurge
Today, while reading some topics, I came across a publication from Binance News about the new all-time high in the on-chain lending market. This sparked a great deal of curiosity about the subject, and I decided to explore it further.
For those who are not yet familiar with it, here is a brief summary of this market:
On-chain lending platforms are decentralized blockchain-based services that allow users to lend or borrow digital assets without the need for intermediaries, such as banks. They operate through smart contracts, which ensures transparency, security, and automation in transactions.
How they work:
Borrowers: Offer collateral, usually in cryptocurrencies, to access loans in other currencies. Lenders: Deposit their assets on the platform and earn interest while their funds are used by borrowers.
This major milestone in the sector will certainly attract the attention of more people and investors. On-chain lending platforms prove to be an interesting investment alternative, but it is essential that everything is done carefully, always after a good evaluation and market study.