BiFi: A Multichain DeFi Platform

BiFi is a multichain DeFi protocol built on top of Bifrost, a multichain middleware platform. BiFi aims to connect different blockchain networks to expand the industry and become a service for all.

By
BSCNews
on
May 4, 2021
Category:
Sponsored

Introduction 

BiFi is a multichain DeFi project that connects Ethereum and the Binance Smart Chain (BSC). It soon aims to connect other blockchains and tokens like Bitcoin, Polkadot, and Klaytn, thereby expanding the DeFi ecosystem currently limited to a single blockchain. Through multichain connectivity, BiFi will lower the gas fees, increase accessibility, and expand the ecosystem to enable more innovative financial products to more people.

Using Bifrost’s technology, BiFi aims to create a decentralized financial infrastructure that connects all the capital markets currently isolated on each blockchain, and creates new products and services that interoperate across multiple blockchains. To this end, the Bifrost team created BiFi, a multichain DeFi service that connected BSC and Ethereum.

What is BiFi?

BiFi launched its multichain lending service in 2021. In its first iteration, BiFi offers decentralized lending and staking protocols on Ethereum and Binance Smart Chain. BiFi is not a fork of other protocols; it is built from scratch to optimize the algorithms for volatility risk and gas reduction. BiFi offers the most competitive interest rates and collateral ratios in the market. Moreover, BiFi has received 3 external security audits.  

Currently, BiFi on BSC supports lending services. The lending platform features 5 tokens, including BNB, which are available for depositing and borrowing. Using the lending service and the reward compensation is the same as Ethereum BiFi Lending. Earned BiFi tokens can be claimed after the launch of the Bifrost multichain Wallet in 2021.

In later stages, BiFi will connect other blockchains protocols that fully support smart contracts and ultimately blockchains that do not, like Bitcoin. To support multichain interactions, BiFi also provides its own proprietary multichain wallet that supports DeFi services on BiFi.

BiFi will release more financial products to expand the DeFi ecosystem. Ultimately, the Bifrost team will release the DeFi suite for developers to develop other multichain DeFi projects easily. 

Rewards

Whenever users deposit or borrow on BiFi, they will receive BiFi tokens. The amount of rewards for each asset is shown under the Reward category. The rewards for each asset is determined by the supply and demand of the respective markets across BSC and Ethereum. The current rates are shown below in the market distribution.

 

BiFi Token Economics

All BiFi tokens will be distributed within a span of 4 years. When all 1 billion tokens have been distributed, 2% of total supply will be inflated each year. 

  • 40% Rewards for lending & Borrowing 
  • 20% Rewards for Pooling & Staking services 
  • 15% Team 
  • 15% Treasury
  • 5% Pre-launch reward for Pooling & Staking 
  • 4% Supply BiFi tokens for Centralized exchanges (CEXs) 
  • 1% Initial supply of BiFi tokens on Uniswap

BiFi token is the currency of the BiFi. BiFi tokens are rewarded to those using Lending, Pooling, and Staking services, and in return, they become stakeholders of the protocol. BiFi tokens can be used to pay BiFi for using multichain DeFi services, and to stake and participate in the BiFi governance.

 

Roadmap 

Q2 2021: Multichain Lending & Wallet 

BiFi will expand the supported tokens and networks for lending, and borrowing. BiFi will directly connect Bitcoin, Klaytn, and DOT without any wrapping. To support multichain lending, Bifrost will launch its own multichain wallet, Bifrost wallet. 

Q3/Q4 2021: Multichain DeFi service & Suite 

BiFi will offer advanced multichain financial services and Bifrost will release the DeFi suite, a development platform for DeFi developers.

 

Why is BiFi a Truly Multichain DeFi?

There are few DeFi services that aim to support both Ethereum and BSC simultaneously. The BiFi team supports BSC to bring benefits to our users. BiFi users will now be able use both BSC and Ethereum. These services traditionally operate on two networks separately, by building the Ethereum-based services on the BSC network. As a result, these two networks operate individually, therefore creating a connected reward system between the two networks, and therefore causing inconvenience for the user.

BiFi on BSC is not just a separate instance. BiFi’s smart contract collects market data from both Ethereum and BSC, then accrues rewards accordingly. Bifrost’s multichain technology is used to exchange market data within BSC and Ethereum to support a truly multichain ecosystem. Bifrost’s multichain technology ensures that the rewards of tokens are not divided among chains. In the near future, BiFi will expand the range of information to be exchanged in order to ultimately build a multichain DeFi that allows for collateralized loans from different networks. (ex. BNB as collateral for USDT loans, etc.)

 

Conclusion

BiFi found a scalability problem with the current DeFi ecosystem that a DeFi service cannot expand beyond the operating networks. 

To solve the problem, BiFi implemented multichain technology to expand markets by connecting BSC and Ethereum. This reliable interoperability across multiple blockchains—multichain—is a necessary evolution for the blockchain industry. 

Overall it is vital to proceed with caution when purchasing tokens that have just been listed. For those who have not already read our articles on safety in the BSC it is crucial to reference the following items, HERE and HERE.

This is a paid press release, BSC.News does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products, or other materials on this page. Readers should do their own research before taking any actions related to the company. BSC.News is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods, or services mentioned in the press release.

If you wish to learn more information about BiFi, check out following links below: 

BiFi App

BiFi Website 

Bifrost Website 

BiFi Twitter

Bifrost & BiFi Telegram 

Medium 


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