Introducing Seamless Protocol: The First Native Decentralizing Borrowing & Lending Protocol on the Base Network
Seamless Protocol is a community-governed lending and borrowing platform. Facilitating both over-collateralized and under-collateralized loans, Seamless Protocol is the first native decentralized protocol on the Base network. Notably, the project forgoed traditional public or private sales in favor of a fully decentralized, community-driven governance model.
Project Utility & Function
Seamless Protocol assumes a dual approach to lending and borrowing. While it offers traditional over-collateralized borrowing akin to established protocols such as Compound and Aave, it also introduces under-collateralized borrowing through smart contracts. These contracts enable various borrowing strategies, collectively known as Integrated Liquidity Markets (ILMs).
Integrated Liquidity Markets (ILMs)
ILMs are a key component within Seamless Protocol, facilitating peer-to-peer borrowing and lending in a more capital-efficient manner. Unlike conventional platforms where liquidity is directly provided to borrowers, ILMs allow liquidity to be supplied to authorized Borrowing Strategy smart contracts. This model enables under-collateralized borrowing while ensuring liquidity suppliers maintain control over their assets, effectively making it an over-collateralized position for them.
Within its first month of operation, Seamless Protocol became the largest native liquidity market on the Base network, ranking among the top 20 by Total Value Locked (TVL) according to DefiLlama. The platform supports assets such as USDbC, ETH, and cbETH, with plans to include additional assets in the future.
By leveraging ILMs, Seamless Protocol offers a novel form of peer-to-peer borrowing and lending through isolated, smart contract-to-smart contract markets. Liquidity suppliers earn fees for providing liquidity, while borrowers must lock collateral and pay fees to access the liquidity pools.
Leveraging Proven Smart Contracts
Seamless Protocol employs battle-tested smart contracts, incorporating Aave v3 for over-collateralized lending and borrowing functions and Ampleforth Geyser v2 contracts for its staking farm. These contracts, audited and proven secure, ensure the robust management of substantial assets and the efficient distribution of rewards.
Furthermore, Seamless integrates multiple functions such as cross-chain bridging and swapping through its partnership with LI.FI. This enables users to bridge and swap assets onto the Base chain from other chains seamlessly. As a launch partner of Coinbase's Subscribe function, Seamless allows users to receive updates directly into their wallets, enhancing user engagement and information flow.
Token Utility
The SEAM token serves as the governance token of Seamless Protocol, empowering holders to participate in the platform's governance and decision-making processes. This ensures that Seamless Protocol remains a community-driven and decentralized platform. While specific details about the token supply, distribution, and governance mechanisms are not provided, these elements are crucial for a comprehensive understanding and risk assessment of the protocol.
About the Founders
The contributors and advisors behind Seamless Protocol bring a wealth of experience from across the blockchain industry. Their backgrounds span notable organizations such as Aave, Coinbase, Uniswap, CertiK, Maple Finance, Ampleforth, and GameStop. This diverse expertise underpins the protocol's innovative approach and robust security measures.
Community and Ecosystem
Seamless Protocol thrives as a community-driven initiative, with governance enacted by the Seamless Protocol DAO and delegated community members. These participants propose and vote on governance decisions, ensuring that the protocol remains aligned with the interests of SEAM token holders. The contributors hail from various sectors within the DeFi ecosystem, including prominent DeFi projects and NFT initiatives, united by a shared mission to enhance the capital efficiency and user experience of DeFi.
A Unique Blend of Lending Options
Seamless Protocol offers a unique blend of over-collateralized and under-collateralized lending and borrowing options. Through its innovative ILMs and proven smart contract architecture, it aims to create a secure, efficient, and community-driven financial ecosystem.
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