Crypto lender Nexo is making ready to enter the prime brokerage house with Chainlink-powered audits that convey extra transparency to its operation
Crypto lender Nexo is making ready to enter the prime brokerage house with Chainlink-powered audits that convey extra transparency to its operations.
The Swiss lender introduced an integration with the oracle supplier on Wednesday. Chainlink will present audit trails for Nexo’s lending and borrowing operations, revealing how the agency handles consumer collateral, Nexo CEO Atoni Trenchev stated in an interview.
In circumstances the place curiosity paid on a mortgage is in a separate foreign money than what the mortgage is denominated in, Chainlink will present an trade price for calculating curiosity funds. The Chainlink oracle protocol operates as a decentralized and clear arbiter of asset costs, eliminating the opportunity of a central level of failure.
Nexo hopes this elevated safety will help the corporate’s growth into the prime brokerage enterprise. The lender revealed in the identical announcement that it plans to construct out a “full prime brokerage product suite.” Earlier this 12 months, Coinbase, Genesis Buying and selling and BitGo all introduced plans to develop into prime brokers.
The information of Nexo’s brokerage plans comes following the corporate’s announcement in June that, like its rivals within the lending market, it was providing curiosity on crypto deposits.
Nexo now affords 5% on bitcoin (BTC), bitcoin money (BCH), ether (ETH), XRP, EOS, stellar (XLM) and litecoin (LTC), half of the 10% that Nexo customers earn on fiat currencies and stablecoins like USDT, Dai and PAX. The curiosity for the product will get deposited into buyer accounts each day at 12:00 UTC.
Trenchev stated earlier than launching curiosity on crypto, he waited till Nexo had discovered “proprietary, market-neutral” methods for making the most of mortgage arbitrage, foundation buying and selling and different methods
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