DeFi

1/Lending Protocol Taxonomy, Part 2: Interest Rates

https://medium.com/alliancedao/lending-protocol-taxonomy-part-2-interest-rates-147109f709f0

Part 2 is all about how do protocols arrive at the correct interest rates.

This article covers:

Casts about defi, ml, food, Singapore, etc. @alliance | ex: quant @twosigma @appfolio by acq

3/
Auctions: pricing is good, efficient loans, but needs users to plan ahead, fragmented secondaries, and other small frictions. 

Ajna's utilization: a twist on the classic utilization method, adapted to work in an oracleless protocol

4/
Tazz's perpetual loans funding: a new p2pool lending primitive that lets the market price interest rates, and therefore enables collateralization to be fully modular.

Manual pricing: or governance-led pricing.

5/
If this is up your alley, DM me, apply to https://alliance.xyz/apply, and follow me for more of this stuff!

2/
Orderbook pricing: the most flexible and market driven, but with UX tradeoffs. 

Utilization-based pricing: the model that found product-market fit in defi, but not 100% efficient and behaves bad in extreme scenarios.