what's Term Finance?
Term Finance is a decentralized finance (DeFi) protocol designed to enable fixed-rate lending and borrowing on blockchain networks. It addresses the volatility of variable rates in traditional DeFi by offering structured products like auctions, sheets, and vaults that lock in predictable yields for lenders and borrowers. Built on Ethereum and compatible chains, it leverages automated strategies to optimize capital efficiency and reduce exposure to market fluctuations. The protocol operates through mechanisms such as Term Auctions for competitive fixed-rate discovery, Blue Sheets for direct deposit-based earning without auctions, and Strategy Vaults integrated with platforms like Yearn Finance V3 for automated yield generation. Users participate by supplying assets like ETH or stablecoins to earn points and future rewards, while borrowers access fixed-rate loans based on duration and size. Term Finance emphasizes community-driven growth, with token incentives via $TERM to reward early adopters and liquidity providers.
Term Finance rolled a $445K fixed-rate loan into a new $500K loan at 6.5% APY via Yearn.
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x.com/term_labsCompleted a 6-week $445K fixed-rate loan through Yearn-curated USDS vault and rolled into a new 8-week $500K loan at 6.5% APY.
Integrated with Puffer Finance, enabling pufETH lending on Term Finance platform with yields up to approximately 472% APR during the CARROT rewards epoch.
Integrates Hypernative Labs for liquidity pool toxicity monitoring with real-time checks, pre-auction screening, and alerts.