Exactly Protocol and Optimism join forces to bring DeFi to the end-user

Exactly Protocol, a DeFi lending and borrowing platform, has announced that it is now live on Optimism, the leading scaling solution for Ethereum (Layer 2). With this integration, users can enjoy lightning-fast transactions, high security, and low fees while depositing and borrowing at variable and fixed interest rates within the protocol.

What is Optimism?

Optimism is an EVM equivalent Optimistic Rollup chain designed to be fast, cheap, and simple while maintaining the security and decentralization of L1 (Layer1).

About Exactly Protocol

Exactly Protocol is a decentralized and open-source DeFi protocol that provides an autonomous fixed and variable interest rate market enabling users to exchange the time value of their assets frictionlessly.

The protocol was founded in July 2021 by a team of experts in Technology, Economics, Finance, and Math; and was launched on the Ethereum Mainnet in November 2022. 

The project has also been funded by long-term capital partners with a history of supporting Web2 and Web3 ecosystems. Some of the current investors areKazsek,BairesDAO,6thManVentures,NXTP,Newtopia,Kain Warwick (Co-Founder ofSynthetix),Esteban Ordano (Co-Founder ofDecentraland),Matias Woloski (Co-Founder ofAuth0),Daedalus, among others.

What makes Exactly Protocol different?

Unlike other fixed-rate DeFi protocols that determine fixed rates based on the price of various maturity tokens, Exactly Protocol is the first to determine fixed rates based on the Utilization Rate of pools with different maturity dates.

This means the protocol does not need a custom Automated Market Maker (AMM) to trade maturity tokens; it only needs a variable rate pool that consistently provides liquidity to the different fixed rate pools.

Exactly Protocol is officially launched on Optimism

Exactly Protocol's integration with Optimism will help democratize access to financial services more efficiently and cost-effectively. Following the Optimistic Vision, Exactly can contribute to a more open, transparent, and inclusive financial system that a single entity or government does not control.

"We're thrilled to announce that Exactly Protocol is now live on Optimism. As a part of the Optimism ecosystem, we're excited to contribute to its growth and expansion. Our new non-forked design, which has undergone extensive auditing and maintains an ongoing bug bounty program, coupled with a friendly UX, will provide a seamless experience for L2 users," said Gabriel Gruber, founder of Exactly Protocol.

Exactly Protocol's integration with Optimism is another step forward in DeFi's quest for scalability and accessibility. By embracing L2 solutions, Exactly can continue to grow and attract new users while maintaining security and decentralization hand in hand with a seamless user experience.

Through this integration, users can easily deposit and borrow at fixed and variable interest rates using ETH, USDC, and OP on the Optimism network. More assets will be added soon.

According to Kain from Synthetix, "It's been awesome to watch Exactly Protocol develop their roadmap and then see it play out reaching these milestones. I'm excited they've chosen Optimism as the best place to build. I'm bullish on Exactly and their innovation to DeFi in 2023."

The Role of Layer 2 Solutions in Democratizing DeFi

One of the biggest challenges facing DeFi is the high gas fees and slow transaction times on the Ethereum Mainnet. This makes it difficult for the average user to participate in DeFi protocols, as the fees can sometimes be higher than the amount they want to invest.

Layer 2 solutions, such as Optimism, have become increasingly important in bringing decentralized finance (DeFi) to the end user, offering a way to scale Ethereum, increase transaction throughput, reduce gas fees, and make DeFi accessible to a broader audience.

This is crucial for the growth and sustainability of the DeFi ecosystem, as it enables more users to participate, bringing in more liquidity and facilitating the development of more innovative and diverse DeFi products.

Exactly Protocol's plan to boost Optimism's growth

Exactly Protocol is pleased to announce that it will launch a rewards program with $OP tokens in just a few short weeks! The program will include 600,000 $OP tokens for the Exactly users that deposit or borrow during the next 6 months.

“Our team is committed to making DeFi more accessible to everyone, and we believe that onboarding users within the Optimism ecosystem with a robust incentive rewards program is an important step towards achieving this goal,” said Gabriel Gruber, founder of Exactly Protocol.

Reward programs typically rely on a fixed emission schedule overtime or a predetermined distribution function rule. However, these approaches could be more effective in attracting a diverse user base and often leading to a concentration of rewards among a few select wallets.

We built a new adaptive model at Exactly to address this issue: a recursive token distribution in continuous time.

Our new model has two distinct modules:

  1. The distribution module determines the number of tokens allocated during each time frame (determined by two consecutive protocol transactions) depending on how close we are to our target.

  2. The allocation module determines the proportion of tokens allocated to each protocol user class (depositors or borrowers) depending on the pool utilization level in each period.

More information about the OP rewards program coming soon!


Follow us on Twitter and Mirror, and join our Discord and Telegram to stay in the loop!

Subscribe to 𝚵xactly Protocol
Receive the latest updates directly to your inbox.
Mint this entry as an NFT to add it to your collection.
Verification
This entry has been permanently stored onchain and signed by its creator.