Term Finance, the first scalable fixed-rate lending protocol, announced the launch of the onchain Blue Sheets Simple-Earn platform, making institutional-grade fixed-rate yields accessible to everyone, including users who don’t have time to participate in and monitor auctions on Term Finance.
Term Finance pioneered blind auctions onchain to match borrowers and lenders efficiently. Since its public launch in August 2023, Term Finance has cleared over $150 million in total volume through weekly auctions, attracting more than 30 institutional and high-net-worth users. The single-largest auction to-date cleared more than $5 million.
Now, the benefits of Term auctions have been opened up to all users on Ethereum and Avalanche. Blue Sheets simplifies earning fixed rates on Ethereum and USDC deposits, allowing users to lock in predictable yields with a single click and no minimum requirements.
“This is the next step in the evolution of our proven auction-based products, which have successfully appealed to institutional and high-net-worth investors,” said Dion Chu, Founder and CEO of Term Labs, a blockchain R&D leader that contributes to the development of Term Finance. “Blue Sheets is just one component of an upcoming suite of initiatives that will broaden access to collateralized fixed-rate onchain lending. Stay tuned!”
The fixed yields are backed by real onchain activity. Each loan is overcollateralized by a blue-chip ERC-20 token such as weETH, wBTC, or deUSD, held in non-custodial smart contracts with real-time price monitoring through Term smart contracts.
“Term leverages Chainlink’s industry-leading oracles for collateral pricing, backed by sophisticated fallback price-feeds for enhanced security. This redundant validation approach demonstrates our commitment to institutional standards, which guide every aspect of Term’s infrastructure,” Chu said.
Through auction matching and Blue Sheets, Term Finance users avoid pitfalls associated with typical DeFi liquidity provisions, such as slippage and hidden fees.
As opposed to fixed-rate “earn” programs on Centralized Exchanges, Blue Sheets’ DeFi solution is noncustodial, permissionless, transparent, and decentralized.
Partnerships with top protocols including EtherFi and Ethena enable users to enhance their base yield with the potential of additional incentives. Blue Sheets users can also participate in the ongoing Term Points rewards program.
Term Finance is backed by $8 million in funding from marquee investment firms including Electric Capital, a16z CSX, Maelstrom (Arthur Hayes), Coinbase Ventures, Circle Ventures, Robot Ventures, and Ava Labs, Blizzard Fund. Angel investors include Ether.fi founder and CEO Mike Silagadze, Paper Ventures founder and GP Danish Chaudhry, Neoclassic Capital founder and Managing Partner Steve Lee, among others.
To verify the integrity and correctness of the implementation, Term Finance has undergone multiple code audits, each traceable to specific public GitHub commit hashes – enabling users to verify that audited code matches deployed smart contracts. Additionally, the core lending protocol completed thorough formal verification using Certora’s CLI.
About Term Finance
Term Finance is a transparent and scalable non-custodial fixed rate-liquidity protocol for digital assets. The Term Finance Protocol enables noncustodial fixed-rate collateralized lending onchain (Term Repos) modeled on tri-party repo arrangements common in TradFi. Term Finance is the first DeFi fixed-rate lending protocol to operate effectively at an institutional scale.
About Term Labs
Term Labs is a blockchain research and development company dedicated to creating robust, transparent, and scalable fixed-rate lending solutions onchain. The founding team’s combined experience in finance and big tech is the foundation for its innovative approach to DeFi solutions. Its founders have a track record of managing $1b+ portfolios on both the sell side and buy side at Citibank, Morgan Stanley, D.E. Shaw, and other institutions), as well as establishing interest rate benchmarks at exchanges that have done trillions in volume. They also have substantial technical backgrounds, including experience at the Amazon blockchain group, Bloomberg, and Planet Labs.
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