Cryptocurrency loans are becoming more common among blockchain users. However, tokens derived from others placed as collateral still face some difficulty in this market. To solve this, the ZeroLend platform emerged.
The network serves those who need to borrow cryptocurrencies, real-world assets and tokens derived from staked coins. Transactions are made securely, in a zero-knowledge protocol (Zero-Knowledge Protocol).
Cryptocurrency Lending
Coin lending on the blockchain involves leaving an amount of collateral, in some specialized dApp, withdrawing the desired amount. So, you can borrow ETH, BTC and SOL, for example.
The ZeroLend platform allows users to deposit liquid re-staking tokens (LRTs) as collateral for loans. They are created when users stake coins on other platforms. This increases the liquidity of the chains and the possibilities of making more transactions.
The network also allows the deposit for liquidity and the lending of real world assets (RWAs), real-world assets. They are backed by existing assets such as real estate, commodities, works of art, company shares and copyrights.
zkSync protocol
The zkSync protocol was one of the first layer 2 protocols created to solve the scalability of Ethereum, which uses zero-knowledge technology. The concept is simple: none of the participants in the transaction (who receives and who provides) are known.
The data is hidden from both sides — hence zero knowledge. This greatly increases operational safety. Only the final result of the operation is known. Information remains confidential in DeFi.
This protocol also works as a rollup, a type of file compressor that condenses transaction data on the blockchain. Only the final result is recorded in layer 1, which contributes to increased scalability.
Account abstraction
Another advantage of the ZeroLend platform is the account abstraction on Ethereum. Basically, it facilitates access to digital wallets, allowing the user to merge public and private accounts with the contract account.
Currently, digital wallet seed phrases are personal and non-transferable. They must be written down and kept in safe places. The problem is that, if the user loses these copies, they will not be able to access the wallets.
To solve this, account abstraction technology increases more people's access to the world of cryptocurrencies, who enter digital wallets with fewer processes or access dApps on the blockchain more quickly, securely and easily.
ZEROLEND Token
The ZERO token is native to the platform, used to pay transaction fees. It comes with hyperchains: scalable and interoperable networks on multiple platforms, both on the first and second layers, allowing you to increase the number of transactions.
Furthermore, the ZeroLend platform token is a governance token, granting voting power on community decisions to implement improvements and enhancements.
Learn more about cryptocurrencies
The idea behind the ZeroLend platform increases cryptocurrency trading and lending opportunities. To invest in ZEROLEND and dozens of other assets, visit the NovaDAX website.
