ADALend is a scalable and decentralized lending protocol operated by a Decentralized Autonomous Organization (DAO).
ADALend will offer a variety of features that will provide its users with decentralized financial instruments available to anyone with Internet access, without the complex KYC requirements of traditional banking.
The protocol will improve the efficiency of digital asset capital utilization by allowing accumulated assets to fund multiple pools of loans. The protocol will use the Cardano blockchain (ADA) to unleash the DeFi potential on this network as a viable replacement for the traditional financial sector.
The blockchains of the future will need to have a lower impact on the environment, operate efficiently without consuming huge amounts of energy in order to stay operational. Cardano is one of the most energy efficient blockchains in the industry. The developers claim that its power consumption is “1.6 million times lower than Bitcoin and well below the average of high market cap coins.”
Cardano also announced its partnership with Veritree, creating The First Global Cardano Impact Challenge, an initiative to reinvest donations in tree transplants around the world.
The Cardano codebase was developed in Haskell, a widely popular programming language explicitly chosen for its ease of auditing. The Cardano blockchain will offer a protective layer of security for the smooth operation of the ADALend protocol, unlike many DeFi protocols that suffer from problems due to the complexity of the blockchain. ADALend is positioned by developers as one of the most efficient and stable DeFi platforms on the market.
“ADALend will also enjoy further development of the Cardano blockchain by Input Output Hong Kong (IOHK), which has a very strong team that is always working to further improve the blockchain,” it said.
In fact, these are two main factors that will be taken into account when looking for future suppliers of financial instruments. Efficiency and safety will be a top priority for users in 2022 and beyond. Replacing the mainstream banking system will not happen overnight, but the continued application of sustainable alternatives will mark the beginning of the end for traditional financial services.
Earlier last month, ADALend had an oversubscribed seed round. As the private sale round ends quickly, many investors rush to secure their place in the private sale.