Last week, we enjoyed watching Ian Balina, the founder, and CEO of Token Metrics and general partner at Token Matrix Ventures, host the 100X show with special guest Kamen Trendafilov from Nolus Protocol.
The Nolus Protocol team has been developing lending solutions for five to six years in the Web2 space and aims to bring this experience into DeFi. They have developed an Layer 1 (L1) app-specific chain called Nolus Protocol, which allows non-custodial management of digital assets, providing borrowers up to 150% above their down payment as collateral ownership, which gives borrowers more exposure with lower liquidation risk, lower cost, and asset ownership through contract.
The protocol works solely in stablecoins, so there is no impact on solvency or liquidity if the price drops of the NOS token. If necessary, funds can be liquidated within three to four seconds through connections to Dex smart contracts allowing less chance of missing a liquidation compared to regular users trying to do it manually on Dex.
Nolus Protocol aims to become a cross-chain margin trading protocol for crypto. It provides utility through its app chain access gas and allows users to do different things on the protocol, such as lenders receiving higher interest and borrowers having low interest. The goal is to be a one-stop shop for crypto with simple UI and cross-chain transactions using IBC and interchange accounts.
The team has conducted customer interviews and testnet with over 5000 users providing feedback towards the final product. The metrics being tracked include total value locked, number of users, and average usage, while the NOS token is vital for transactions within the ecosystem as it acts as gas and incentivizes stakeholders on the platform.
Nolus Protocol plans to integrate Quid into Astroport and others, building liquidity and availability for swaps, liquidations, and NOS Token. They have been partnering with various Cosmos ecosystem projects while pushing the community to understand what they are building.
Despite regulatory risks around DeFi borrowing/lending, Nos is entirely done by code without human involvement in fund misuse or mismanagement. Two audits by Oak Security show no significant issues in blockchain structure or smart contracts; another audit with Halborg is ongoing for additional assurance of stability.
The team has completed a 1.5 million seed round raising and plans to run their nodes for NOS. Upcoming projects involve:
- Launching a community-driven pool stream swap form followed by Osmosis with NOS Token
- Integration into EVM chains
- Partnering strategically with other protocols
- Building liquidity on DEXs
- Integrating more assets into DeFi pools
We are excited to see what Nolus Protocol has in store for the crypto community and will closely monitor their progress. As always, we strive to provide you with informative and unbiased content on the latest in the crypto world.