📣Introduction

Why Secured Finance engage Stablecoin protocol?

Secured Finance is a decentralized financial platform offering two core markets: the Loan Market and the Fixed Income Market, along with a newly developed Stablecoin Protocol tied to a Variable Interest Market. Each market is designed to address the unique needs of DeFi users, providing flexible borrowing, lending, and fixed income investment opportunities.

The Loan Market and Fixed Income Market allow users to engage in zero-coupon bond trading and structured debt instruments with fixed interest rates. This system ensures predictability and stability for participants seeking secure returns or capitalizing on rate movements.

In contrast, our Stablecoin Protocol, focused on variable interest rates, is designed to offer a decentralized and highly efficient mechanism for minting a USD-pegged stablecoin, USDFC. This stablecoin is minted exclusively using Filecoin as collateral, with all operations conducted on the Filecoin Virtual Machine (FVM). The choice of Filecoin as collateral leverages the strength of the Filecoin ecosystem, allowing us to introduce a powerful DeFi solution tailored for its growing network.

The Role of USDFC in the Filecoin Ecosystem

By integrating the minting process of USDFC directly on the FVM, Secured Finance aims to contribute significantly to the expansion of the Filecoin ecosystem. As the first decentralized stablecoin fully collateralized by Filecoin, USDFC provides liquidity to Filecoin stakeholders, miners, and DeFi users alike. We believe this will not only enhance liquidity within the Filecoin network but also create a strong foundation for further DeFi development within the ecosystem.

Secured Finance's vision is to foster the growth of the DeFi sector through a robust and decentralized stablecoin market, supporting both Filecoin and the broader blockchain ecosystem. By utilizing the FVM, our protocol enhances the composability of Filecoin assets and provides an additional layer of utility to the network, reinforcing the long-term value and sustainability of the Filecoin economy.