There’s no denying it — DeFi has dazzled its way through the summers of 2020 and the incredible ups and downs of the crypto market in 2021. But despite the razzmatazz, DeFi and its many spectacular features remain alien to most of us.
From the ins and outs of yield farming to lending protocols and flash loans, there are times when it seems that users have to possess the in-depth technical knowledge to unlock the higher features available in DeFi. Moreover, while DeFi remains an attractive venue for the crypto community, it is undeniable that the space suffers from capital inefficiencies. This is especially so for loans; the lack of a reputation system such as a credit score sometimes results in situations where even DeFi aficionados end up locking more assets than they borrow.
And sure, users could possibly turn to decentralized lending without collateral — flash loans — but if one is not a coding expert, the average joe is unlikely to venture into upgraded loans.
Indeed, where did the promise of high yields and capital efficiency go?
The Way DeFi Should Be
We want it made just the way it should be — a DeFi protocol equivalent of fast food, where super-sized yields await on a ready-to-serve platter. Enter CHFRY (CheeseFry) Finance, a new secured lending platform that powers the automated repayment of debt through diversified high yield strategies.
CHFRY’s special sauce — loans that repay themselves by streaming of interest from yield aggregators and flash loans — makes it simple for anyone to unlock capital efficiency and take on self-repaying loans through uncorrelated high yield strategies. Users get to deposit stablecoins (DAI/USDC/USDT) as collateral to borrow against, while the protocol deploys this collateral into DeFi yield aggregators and utilizes it for flash loans to generate yield that will automatically pay off the loan.
How Do You Get Cheese on DeFi?
A cook is only as good as their cooking equipment, which is why CHFRY is bringing all the new shining toys to users, so they can power the automated repayment of the debt as well as tap into the potential of flash loan applications.
Let’s see these lustrous pieces of equipment that CHFRY is bringing your way:
🧀 Fryer
This is like a vault that collects the user's base assets.
- When users make a deposit, they can mint up to 50% of their deposited amount in the form of fUSD, while their deposited assets are put to work to earn yield and pay off the loan.
- To diversify the sources of yield:
- (i) 20% of the base asset is set aside as collateral for flash loans, and
- (ii) the remaining 80% is deposited to YFI to gain reward.
- Vault depositors earn fees on flash loans, which go toward the maturing of debt positions along with the harvested yields from YFI. Flash Fryer fees provide a natural hedge against scenarios whereby DeFi aggregator yields come down — while maintaining the integrity of vault deposits. Consequently, CHFRY creates uncorrelated high yield strategies for its users, which means that the debt repayments can't be interrupted by market fluctuations.
🧀 Oven
CHFRY’s very own debt converter, where “interest” produced by YFI is thrown into periodically.
Additionally, Oven allows users to stake their synthetic assets (fUSD) and have them converted into their base assets overtime at a fixed 1:1 ratio. The advantage of grilling is guaranteed 1:1 redemption of fUSD for DAI/USDT/USDC.
🧀 Cheese Factory
The center of all incentive programs and marketing — this is where farming and staking take place. Specific token holders can deposit their tokens to the farm pools and earn $CHEESE — the CHFRY governance token, that empowers CHEESE holders to make decisions over governance and protocol parameters.
In Cheese Factory there are 5 different pools available:
1️⃣ fUSD3CRV Pool
- Provide liquidity to fUSD3CRV LP on Curve Finance
- Stake your LP token in fUSD3CRV Pool & earn $CHEESE
2️⃣ CHEESE-ETH-SLP Pool
- Provide liquidity to CHEESE/WETH LP pool on SushiSwap
- Stake your LP token in CHEESE-ETH-SLP Pool & earn $CHEESE.
3️⃣ $CHEESE Pool: Stake $CHEESE earn $CHEESE
4️⃣ $fUSD Pool: Stake fUSD earn $CHEESE
5️⃣ $alUSD Pool
Serving a special dish exclusively hand-crafted for the Alchemix community. Time to grate some $CHEESE with little Alchemy: Stake alUSD from Alchemix & earn $CHEESE
🧀 Flash Fryer
The flash loan arm of CHFRY — a special rewards pool for flash loan users and your gateway to flash loan-powered applications.
Flash fryer users have their yields enhanced by $CHEESE rewards.
This is what we call Flash Loan Mining:
This incentive program is designed to boost the flash loan volume and in return increase the income from flash loans, which, as mentioned above, is directed toward maturing the debt positions.
Additionally, flash loan users are liable to only a 0.06% flash loan service fee, which is 30% lower compared to other flash loan providing platforms.
Who Gets the Cheese?
Any one of these budding chefs in the kitchen are likely to take a big bite out of some well-deserved CHEESE:
- The DeFi Scientist: The hardcore technicians who have been looking for cost-saving flash loans and mega yields.
- The Average Crypto Joe: They take the softer approach, passively waiting for decadent yields on their staked funds, or wanting nothing more than to borrow and farm assets from one pasture to another. While they may not be experts in code, they’re also willing to try out new flavors from time to time with flash loans, as long as it’s cooked right.
Get Frying!
CHFRY’s diner is open for business, so get on the protocol now for delicious flash and self-repaying loans with zero risk of liquidation, and dig in on the tastiest yields in Cryptotown.