- Xend Finance is launching a platform that will offer Africans the facility of decentralized finance
- It employs the Binance Smart Chain (BSC) to provide for DeFi services
- The CEO of Xend Finance, Ugochukwu Aronu, explained the purpose of the project in detail
Nigerian startup plans to form Credit Union
Xend Finance, a renowned Nigerian startup, is launching a platform that will offer Africans the facility of decentralized finance (DeFi). It employs the Binance Smart Chain (BSC) to provide for DeFi services and make them accessible to the credit union and co-operative participants.
Ugochukwu Aronu, CEO, Xend Finance, delved into the purpose of the project in detail. He stated that the problem for residents of various African countries is that the worth of fiat currencies wavers significantly compared to other spaces and often depreciates significantly.
Ugochukwu added that their platform along with Binance Smart Chain facilitates people to stock in stable currencies without panicking about the devaluation of their assets. One can also collect higher interest values through DeFi. He expressed that he’s excited to witness the benefits of blockchain to the citizens of Africa.
Besides, according to Ugochukwu, the potential reasons for establishing the platform on top of Binance Smart Chain (BSC) were interesting characteristics like speed, cross-chain transmission assistance, low rates, and affinity with Ethereum (ETH) digital machines.
Plan to construct smart contracts
According to the project scheme, Xend Finance customers will have the facility of smart contracts to create credit union groups on the program to save, loan, finance, and more.
The group holds a unique ID code on the smart contract. The creator of the group firstly details the process along with rules of the credit union, like the amount of deposit and the period for submitting donations to the group. These rules get stored in the smart contracts.
Members can access the provision of various functions like trading their crypto assets and fiat currency in exchange for stable coins, submitting digital currency on the lending program, and collecting yields. The platform also provides the option of personal savings.
Xend Finance publishes its digital currency “XEND” token. Platform customers can utilize this token to reward multiple operations executed within the protocol. It also represents a token that authorizes decentralized governance of the platform’s ecosystem.
According to the blog of the project, Xend Finance is constructed as an independent decentralized organization (DAO), and it is noteworthy that users holding XEND tokens hold the right to vote on governance and function.
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