DeFi as aEmerging Forms of Finance, relying on smart contracts to complete operations without central intermediaries or management institutions such as banks and brokerage companies, the goal of DeFi is to truly democratize financial access by replacing traditional institutions, eliminating information barriers and reducing professional fees .
So far, DeFi has achieved outstanding achievements, represented by transactions, lending, etc.Financial instrument applicationon the other hand,
on the other hand,SolanaThe transaction speed of up to 50,000 times per second and the extremely low handling fee are naturally suitable for the landing of DeFi financial products.
Apricot Financefor a deeper understanding
for a deeper understanding Apricot Financesecondary title
The following is the organization of the AMA text content, and the content has been deleted.
Analysis of Apricot Finance
At the beginning of the AMA, Ace Tsui gave a brief introduction to the characteristics and birth background of the Apricot Finance platform.
He said that Apricot Finance is a comprehensive DeFi solution built on Solana, providing users with diversified services including excess floating rate mortgage loans, fixed rate mortgage loans, and DeFi financial technology components.
In order to highlight the characteristics of the project, the over-collateralized loan agreement will be released first, which provides borrowers with the highest borrowing authority among similar products, lower liquidation penalties, and higher income predictability.
As the platform continues to expand, Apricot may move in the direction of traditional financial asset securitization to assist in the management of bad debt collateral recovered from Apricot's original two-hour liquidation guarantee process.
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Fusion behind the team
The rapid development of the Apricot Finance project from its establishment to the present must be inseparable from the efforts of the team members. When sharing interesting stories about the team behind Ace Tsui, he pointed out that the core members of Apricot's team come from all walks of life.
Before joining Apricot, some served as senior managers in traditional financial investment banks in the United States, some were co-founders of trading platforms, some were the core development team of Singapore High Frequency Exchange, and the chief executive of well-known DeFi projects economic advisor.
Apricot Finance's team integrates Eastern and Western cultures, work and education backgrounds, and will bring more diversified ideas to product design, so that it can adapt to the needs of DeFi users around the world in terms of underlying logic, user interface design and product promotion. need.
When talking about his work experience, Ace Tsui said that before coming to Apricot, he had 7 years of entrepreneurial experience in financial technology startups, and co-founded Ponton Coin, a trading and intermediary platform. At Apricot, he is mainly responsible for the general layout and commercial planning.
Partner Cecilia is responsible for product strategy deployment and other business development. She has senior experience in the Wall Street financial industry.
Technical director Yaniv has a great passion for programming and is mainly responsible for the development of Apricot technology. Before that, he worked for a high-frequency exchange.
financing progress
financing progress
Apricot Finance has always attracted the attention of many investment institutions. When talking about the current financing progress, Ace Tsui pointed out that Apricot Finance has completed a seed round of financing of US$800,000 within a week.
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Development prospect of decentralized track
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Source: DeFi Pulse
Ace Tsui expressed his views on why Apricot Finance also chose to join the decentralized lending track, how to view the current development status of this track, its future development direction, application scenarios and other topics.
He pointed out that lending applications are the cornerstone of all ecological development, and Solana, as a relatively new ecology, has not yet developed a good enough lending project.
At the same time, Solana's own advantages are extremely beneficial for Apricot Finance to develop more complete and unique products. At present, Ethereum has entered the oligopoly stage, and a small number of top applications occupy the majority of the market share and total lock-up value of the entire industry.
One of the future development directions is to gradually reduce people's dependence on traditional finance, and this process may last for decades. The other is to improve the utilization rate of funds, making it more efficient compared with the existing mechanism, and eventually replace the existing mechanism.
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Apricot Finance Features and Differentiation Advantages
When it comes to DeFi lending applications, many people may first think of Aave and Compound. Compared with these two projects, what are the similarities, differences and advantages of Apricot Finance, Ace Tsui shared. :
Both Compound and AAVE are built on the basis of Ethereum, but with the rapid growth of the total locked value of DeFi and the number of investors, the services and functions provided by the public chain represented by Ethereum have been unable to maintain the operation of the project and meet the requirements of the project. long-term development needs.
At present, a large number of products and trading strategies that exist in traditional finance cannot be directly transplanted into DeFi applications on Ethereum. The "asset securitization" and "high-frequency trading" products that Apricot Finance is developing are one of them. The reason is that these New products need a public chain that can guarantee stable, efficient, and fast block confirmation time at any time, and the existing services and functions of Ethereum can no longer meet these needs.
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collateral type
When talking about the types of collateral supported by the Apricot Finance plan and what are the differences between different collaterals, Ace Tsui said that the types of collateral supported by the Apricot Finance plan include BTC, ETH, SOL, USDC and USDT.
At present, the overall LTV (Loan-to-Value ratio LTV, Loan-to-Value) will be about 10% higher than that of Compound. The reason is that the first is to test the 2-hour liquidation when the platform has a small amount of cold start funds Whether the commitment can be fulfilled and whether the COT can function properly.
Affected by USDT's recent disclosure of assets, USDT will have a slightly lower LTV than USDC. However, BTC has recently been influenced by community leaders and fluctuated greatly, so the LTV is slightly lower than ETH.
On the whole, for stable currency assets, the overall LTV will reach 80%-90%, for T1 level assets, the LTV will be 80%-90%, for T2 level assets, 60%-80%, and for T3 level assets, 50%-60%.
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Mortgage ratio
Regarding the mortgage ratio and debt ceiling rules of Apricot Finance assets, Ace Tsui explained that currently users can lend assets through Apricot Finance including BTC, ETH, USDT, USDC and SOL, and more assets will be supported in the future.
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2-hour liquidation guarantee "Apricot Rescue"
Apricot Finance introduced a unique 2-hour liquidation guarantee "Apricot Rescue" in the liquidation mechanism. When asked about the design rules and specific operation methods of this mechanism, Ace Tsui shared:
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Closed-loop system for bad debt processing
One of the biggest hidden dangers of DeFi lending platforms is that liquidation failures caused by extreme market conditions lead to bad debts, or agreement losses caused by contract security black swan events.
In response to such phenomena, whether Apricot Finance has a corresponding preventive mechanism, Ace Tsui answered that bad debt handling is the most important and difficult problem for all lending platforms.
At present, most mainstream lending platforms rely on external arbitrageurs to complete bad debt processing, but when external arbitrageurs have no willingness to deal with them, or a "liquidity crisis" occurs, these bad debts can only be borne by the platform itself.
Therefore, inspired by traditional finance, Apricot Finance creatively introduces asset securitization to solve the problem of bad debts that third-party arbitrageurs have no intention of dealing with.
To put it simply, for bad debts that arbitrageurs refuse to intervene, the Apricot Finance platform will first fulfill its promise to complete the liquidation within two hours.
Subsequently, the platform will gather all bad debts into a fund pool, and while ensuring the security of assets, use this part of assets as the underlying assets to issue a bad debt handling token called COT.
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price feed mechanism
When talking about whether Apricot Finance has adopted the oracle machine price feeding mechanism, and whether the price deviation caused by a single oracle machine quotation will cause extreme liquidation problems, Ace Tsui pointed out that the Apricot Finance oracle machine obtains price information from major mainstream transactions and calculates weighted Average and median, so the possibility of price deviation issues caused by a single oracle quote is extremely low.
Public chain track
Public chain track
Ace Tsui then shared some views on the development status of the public chain track.
When asked about the advantages and characteristics of the future ecology of the Solana public chain compared with Ethereum, Polkadot, BSC and other public chains that have formed a certain ecological foundation, what are the most optimistic about the development of the track, and where are the shortcomings, etc. topic, Ace Tsui replied:
Personally, I am more optimistic about the development prospects of financial products such as DeFi on Solana. Solana's transaction speed of up to 50,000 transactions per second and extremely low handling fees allow many functions that cannot be realized on other public chains to be able to play a role in Solana. The main weakness of the current Solana ecosystem lies in the lack of rich product lines and product categories.
Join Solana Ecosystem
Join Solana Ecosystem
After talking about the development status of the public chain track, Ace Tsui shared why Apricot Finance chose to join the Solana ecology and its positioning in the Solana ecology compared to other public chains.
He pointed out that there are two main reasons why Apricot Finance chose to build on the Solana ecosystem. One is that because the Solana ecology is still in its early stages, there is not yet a sufficiently good, safe and credible lending platform built within the ecology. The second is that compared with Ethereum, Solana's extremely high transaction speed and extremely low handling fees give the platform the opportunity to develop more creative products.
Apricot Finance is committed to becoming the leader and the most important part of the Solana lending ecological cluster. The relationship between Apricot and the Solana public chain will be mutually beneficial and win-win.
Apricot Finance provides safe, fast and effective financial services to all DeFi users around the world by effectively utilizing the advantages of the Solana public chain, which will further increase the popularity of the Solana public chain.
Token Value Capture
Token Value Capture
Regarding value capture, Ace Tsui shared Apricot Finance's token economic model, how to motivate users to hold tokens for a long time, token application scenarios and other topics.
Ace Tsui pointed out that the Apricot Finance token is called APR, and its application scenarios mainly include community governance, reserves, user incentives and pledge mining. The Apricot Finance team will encourage users to hold tokens for a long time by providing free token rewards and platform fee reductions for long-term token holders.
More importantly, the token value is the best reflection of the value of the project itself in the market.
In terms of products, the project team will launch more and more creative services in the future, endow tokens with more functions, and improve token liquidity;
In terms of marketing, Apricot Finance's professional marketing team will carry out professional marketing on major social media, and hold various promotional activities to expand the popularity of the event project in the market;
Recent Development Plan
Recent Development Plan
public offer
public offer
Regarding whether Apricot Finance will consider public offering of tokens and the expected launch time of the main network, Ace Tsui said that Apricot Finance will definitely hold a public offering.
audit
audit
main network
main network
cooperate
cooperate
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