⚠️This is for educational purposes only, use of the information is at your own risk⚠️

Nikolai Durov started working on the original TON in 2018. He developed it as a decentralized blockchain aimed at creating a fast, scalable network for billions of users that can be used for scalable decentralized games, payments, and DeFi services.

TON Blockchain was initiated by the visionary idealist, picked up by bright minds around the world who resonated with the idea of Brave New Internet in Telegram. But, like Dante, the TON went through the nine circles of hell with early troubles, a bear market, and no-utility shithcoins, just like other blockchains in the early days.

As we know, hard times create strong men, strong men create secure, transparent, and accessible protocols: wallets, DEXs, liquid stakings, lendings, and future ones, which are being built on the shoulders of those titans.

This is the newest article of our TON DeFi Academy series, we'll talk specifically about decentralized lending and borrowing to focus on the most advanced type of decentralized lending pools on TON Blockchain, developed by the EVAA Protocol. We'll explain how they work and what advantages they have.

Basic Concept

The EVAA protocol is designed with a high level of security at its core by utilizing the concept of isolated pools.

Isolated pools in EVAA help make TON DeFi a safer place by placing liquidity of different groups of tokens with different types of risks and demands on independent pools that cannot interact with each other.

If something goes wrong with one concrete asset placed in a particular pool in which you participate - a sudden price drop or liquidity problems - it will not affect your assets in other pools because they are isolated from each other at the smart contract level, which reduces the risk to your portfolio as a whole.

EVAA’s Original Pools

For instance, the Main Pool in EVAA is just one of several isolated pools. Upcoming isolated pools include the LP Pool and the Ecosystem Pool. Each of these pools has a distinct set of assets and operates separately from the others:

• Main Pool: Includes assets like USDT, TON, stTON, tsTON, jUSDT, and jUSDC.

• LP Pool will be deployed soon to make it possible to loop liquidity between EVAA, DeDust, and Storm: contains assets such as USDT, TON, DeDust TON/USDT LP, Storm Trade TON LP, and Storm Trade USDT LP.

• The Ecosystem Pool is also coming soon and will include the most popular and stable ecosystem tokens. Want to be the first to know which tokens will be placed in this pool? Subscribe to our X and Telegram notifications.

In isolated pools, each pool has its own specific rules governing which assets can be borrowed or supplied, how much can be borrowed, and the repayment terms. These rules are unique to each pool and help maintain the security and integrity of the system, as any issues are contained within the individual pool, leaving the rest of the protocol unaffected.

Third-party Pools

Other builders can fork EVAA’s existing smart contracts to create their isolated pools with a custom list of the assets, including all existing tokens on TON to build new lending products while taking full control and responsibility.

This allows users to select different pools based on risk in the open market. If a problem occurs in an isolated pool from third-party developers, it remains within that pool, ensuring that original pools are unaffected.

For example, these isolated custom pools could allow users to deposit USDt as collateral and borrow tokens from the pool administrator, who also acts as the main liquidity provider. Since native USDt on TON is stable, it minimizes risk while enabling users to short tokens by borrowing, selling, and repaying them later at a lower price.

The risk stays within the isolated pool. If a particular token crashes, only the assets in that pool are affected, keeping the remaining lending pools deployed on TON secure.

Reminder

This material is provided for educational purposes only. Any use of the obtained information is at your own risk. The author and the platform are not responsible for the possible consequences of putting this knowledge into practice.