Liquidify.us - Borrow and Lend ckBTC for ICP NFT

Project Highlights

  • Origin Story: Started as a P2P lending project and won the ICP Hackathon, leading to a grant for further development.
  • Expert Team: Built by seasoned developers from India.
  • Platform Functionality: Allows users to lend ckBTC for ICP NFTs, while borrowers repay with APY.
  • Roadmap: Plans to expand by supporting additional assets like ckETH and ckUSD.
  • Loyalty Program: Participants earn points by engaging in lending offers, convertible to tokens during the Token Generation Event (TGE).
  • Tokenomics: Designed for sustainable growth with incentives for early adopters, including a gradual decrease in points value over time.

Web3 Advantages

In the ICP ecosystem, many NFTs are sitting idle in wallets, missing out on their potential value. Our platform, Liquidify, empowers the community to easily lend and borrow ckBTC using ICP NFTs as collateral, all while ensuring a 100% on-chain process. The collateral is securely stored inside the canister, providing peace of mind for both lenders and borrowers.

Early adopters are also rewarded through our loyalty program, where they can earn points for participating in the ecosystem, encouraging active engagement and growth within the platform. Liquidify not only unlocks the value of your NFTs but also fosters a thriving, decentralized community.

How is it built

Liquidify is built using Motoko, the native language of the Internet Computer (ICP). The platform securely stores ICP NFTs as collateral inside canisters—smart contracts with unique principals that protect your assets. This ensures that all lending and borrowing transactions are fully on-chain, decentralized, and secure, providing a reliable environment for users to engage with the ecosystem.

Internet Computer Superpowers

  1. Infinite Scalability: Supports limitless smart contracts and users without sacrificing performance.
  2. Web-Speed Performance: Enables fast transactions and real-time interactions directly on-chain.
  3. Low Costs: Reduces the need for expensive cloud infrastructure, making dApps more affordable to deploy.
  4. End-to-End Decentralization: Fully decentralized, with no reliance on centralized cloud services.
  5. Seamless User Experience: Web-based dApps function like regular websites, simplifying user interactions.
  6. Interoperability: Designed to integrate with other blockchains and systems.
  7. Security: Advanced cryptographic techniques ensure robust security.
  8. Sustainability: Operates efficiently with lower energy consumption compared to other blockchains.

Go-To-Market strategy

  1. Low Fees: Liquidify offers competitive fees for lending and borrowing, making it an attractive option for users looking to maximize their returns.
  2. User-Friendly Interface: The platform is designed with simplicity in mind, ensuring that both new and experienced users can easily navigate and use the service.
  3. Diverse Asset Support: Liquidify supports a variety of assets, starting with ckBTC and ICP NFTs, with plans to add more assets like ckETH and ckUSD, providing users with multiple options for lending and borrowing.
  4. Fast Transactions: The platform leverages the power of the Internet Computer for quick, on-chain transactions, ensuring a smooth and efficient experience.
  5. Incentive Programs: Users are rewarded through a loyalty program that offers points for participating in lending and borrowing, with the potential to convert these points into tokens during the Token Generation Event (TGE).
  6. Security: Liquidify uses canister technology to securely store collateral, ensuring that users’ assets are protected and managed safely.
  7. Customer Support: The platform offers responsive customer support, helping users with any issues or questions they may encounter.
  8. Educational Resources: Liquidify provides resources to help users understand the platform and make informed decisions, attracting both new and seasoned participants to the ecosystem.

Monetization

Liquidify monetizes its services by charging a nominal platform fee on transactions. This fee is applied to both lending and borrowing activities, allowing the platform to sustain its operations while keeping costs low for users. The goal is to ensure accessibility while maintaining the quality and security of the services offered.

Status of the Project

Liquidify is ready for early adoption, with all documentation and essential components fully prepared for launch. The only remaining step is conducting a canister code audit, which is contingent on securing the necessary funding to cover the associated costs. Once the audit is completed, the platform will be set for a broader release.

Incentive Programs:

The protocol introduces a comprehensive loyalty reward program aimed at encouraging both lenders and borrowers to actively participate in the ecosystem. Users are rewarded with points that can be accumulated and converted into tokens during the Token Generation Event (TGE), thus providing a long-term incentive for engagement.

Lenders’ Rewards:

Lenders, who provide liquidity to the platform by offering loans to borrowers, play a crucial role in maintaining the stability and functionality of the protocol. To recognize their contribution, the following reward mechanisms are implemented:

  1. Liquidity Provision Points:
    Every time a lender provides liquidity in the form of loans, they earn reward points. The number of points awarded is proportional to the amount of liquidity provided and the duration for which the funds are locked in the protocol.

  2. Interest-Based Incentives:
    Lenders who offer loans with favorable interest rates or extended loan periods may receive additional points as a reward for their flexibility and support of the borrowing community.

  3. Performance Bonus:
    Lenders who demonstrate consistent participation by offering liquidity across multiple lending sessions or maintaining a high volume of loans over time may receive bonus points as part of a loyalty reward.

Borrowers’ Rewards:

Borrowers, who utilize the platform to take out loans, are also rewarded for their participation in the following ways:

  1. Borrowing Activity Points:
    Borrowers earn points for each loan transaction they participate in. The points earned depend on the loan amount, duration, and timely repayment of the loan.

  2. Timely Repayment Incentive:
    Borrowers who repay their loans on or before the agreed repayment date receive additional points as a reward for their financial responsibility. Borrowers with a good repayment history may also be rewarded with lower interest rates for future borrowing.

  3. Loyalty Multipliers:
    Borrowers who regularly use the platform to take loans and maintain an excellent repayment track record may receive loyalty multipliers on their earned points, accelerating their accumulation towards token rewards.

Point Conversion into Tokens (TGE):

Both lenders and borrowers accumulate points as part of the loyalty program. These points can be converted into tokens during the Token Generation Event (TGE). The conversion rate of points to tokens will be defined during the TGE, allowing users to convert their participation efforts into valuable tokens that hold utility and potentially tradable value within the ecosystem.

Additional Benefits:

  • Early Adoption Bonuses: Early lenders and borrowers who join the platform before the TGE will be entitled to additional point bonuses.
  • Referral Rewards: Users who refer others to the platform, either as lenders or borrowers, can earn extra points that also count towards their token conversion during the TGE.

Future Plans

Currently, we are set to launch with ckBTC as the primary lending asset. In the future, we plan to expand the platform by adding ckETH, ckUSD, and other chain-key tokens to provide more options for our users. Additionally, we will enable our native LIQ tokens as loan assets, further enhancing the flexibility and utility of the platform.

Advantages of the Platform

  1. Definitee Grantee:
    Being a recipient of the Definitee grant provides significant credibility and backing for the project. This ensures that the platform has strong support and resources from the community to foster continuous growth and innovation.

  2. Hackathon Winners:
    With a proven track record of success, including winning hackathons, the development team behind the platform has demonstrated its ability to create innovative solutions. This positions the platform as a leader in technical excellence and creative problem-solving within the blockchain space.

  3. Experienced Developers:
    The platform is built by a team of experienced developers with over 10 years of expertise in software development and blockchain technology. This extensive experience ensures the delivery of a reliable, secure, and well-designed product, giving users confidence in the platform’s functionality and security.

  4. Future SNS Proposal:
    The platform has plans to submit a Service Nervous System (SNS) proposal on the Internet Computer Protocol (ICP), which will decentralize governance and give control to the community. This future proposal will allow users to have a say in platform decisions, fostering a strong, user-driven ecosystem.

  5. Unique Product in the ICP Ecosystem:
    As one of the first peer-to-peer lending protocols in the ICP ecosystem, the platform offers a unique product tailored to the needs of the community. With chain-key tokens like ckBTC and future plans for ckETH, ckUSD, and LIQ tokens, the platform provides unparalleled flexibility, distinguishing it from other products in the space.

Conclusion:

By rewarding both lenders and borrowers through an integrated loyalty program, the platform aims to foster a dynamic and engaged community. As we expand the range of supported tokens and introduce our native LIQ tokens as lending assets, we will continue to increase the platform’s flexibility and appeal. This comprehensive rewards system, combined with future enhancements, positions the protocol as a leading solution in the peer-to-peer lending and borrowing space, providing users with greater opportunities for growth and financial empowerment.

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