Flare and Kinetic partner to increase DeFi liquidity and accessibility

quick take

Kinetic and Flare’s strategic partnership aims to increase DeFi liquidity through innovative lending and borrowing capabilities. Flare’s integration of decentralized price oracles with traditionally non-smart contract tokens promises to enhance the DeFi landscape. This collaboration represents a promising step towards a more accessible and sustainable decentralized finance ecosystem.

Flare partners with Kinetic to bring lending to the Flare ecosystem

In a strategic move to deepen liquidity and foster a stronger decentralized finance (DeFi) ecosystem, Kinetic, an algorithm-based non-custodial lending and borrowing platform backed by Rome Blockchain Labs (RBL), has announced a strategic partnership with blockchain Flare. data. The collaboration, unveiled on Thursday, promises to provide exciting opportunities for users in the world of decentralized finance.

Kinetic’s platform provides users with a seamless experience to engage in DeFi and has the potential to earn block rewards using the digital assets provided. This partnership is an important step towards strengthening lending and borrowing capabilities within the DeFi space.

One of the key features of this collaboration is the incentive structure it introduces. Flare users contributing assets to the platform can earn incentivized and natural returns through liquidity provisioning. For borrowers, Kinetic offers membership benefits such as interest rebates and access to a private Discord channel, providing access to available assets in overcollateralized structures.

Rome Blockchain Labs, with its expertise in creating and deploying custom financial markets on a variety of blockchain networks, including Avalanche’s Benqi, will play a key role in facilitating Kinetic’s launch. This partnership is expected to provide the technical infrastructure and architecture needed to enable smooth entry into the DeFi environment.

One of the standout features of this partnership is the integration of Kinetic and Flare’s base price oracle, the Flare Time Series Oracle. This integration allows Kinetic to access off-chain time series data, including cryptocurrency prices, without relying on a centralized entity. The result is a highly accurate, decentralized, and frequently updated price feed for lending and borrowing activity, ensuring a more secure and responsive DeFi experience on the Flare network.

Additionally, Kinetic will integrate FAsset developed by Flare’s sister company, Flare Labs. This integration will allow existing non-smart contract tokens such as BTC, XRP, and DOGE to participate in DeFi activities. Once these assets are converted from Flare to FAssets, Kinetic’s platform will allow users to earn returns within the DeFi ecosystem, significantly increasing the diversity and liquidity of available assets.

Hugo Philion, Flair CEO and Co-Founder, said of the partnership: “Rome Blockchain Labs has an incredible track record in financial markets across multiple chains, and we are excited that we have decided to build in collaboration with Kinetic on Flare. This will also perfectly demonstrate the power of the FAssets system to enable decentralized lending and borrowing for non-smart contract assets such as BTC, XRP and DOGE.”

Jake Hunsbusher, key contributor to Kinetic; “Our main goal is to break away from the typical vicious cycle of devaluation and usher in a new era of financial empowerment,” he said, highlighting the platform’s innovative approach. He emphasized the importance of Kinetic’s commitment to user security and technical excellence.

Kinetic’s commitment to decentralization is particularly noteworthy. This is because it aims to remove KYC restrictions while maintaining accessibility in countries with regulatory uncertainty. The platform has also formed a strategic partnership to ensure security and technical excellence with Watchpug and Immunefi, which oversee smart contract audits and bug bounty programs.

Also Read: Flare Powers Decentralized Data Access by Onboarding Leading Infrastructure Providers