Ethereum

Interest rate AMMs are the next evolution for onchain lending. They…

→ Improve matching efficiency vs money markets
→ Improve the lending and borrowing UX

Fixed Rate Infrastructure for the Onchain Economy. Soon™

Concentrated liquidity interest rate AMMs are the solution. They enable…

→ P2P matching: Lending AMMs enable users to lend and borrow at specific interest rates for a set maturity date. This significantly cuts the spread of traditional money markets.

→ Better UX for borrowers: Users have the ability to borrow at fixed rates, preventing the need to unwind positions due to rapid changes in a market’s utilization.

Learn more about Tenor’s interest rate AMM:

Learn more about Tenor’s interest rate AMM:
https://blog.tenor.finance/onchain-interest-rate-amms

Variable rate money market are great, but…

→ Interest rate spreads between borrow and lend rates in these markets frequently range from 20% to 40% of the borrowing rate.

→ Borrow rates can spike when utilization increases above the kink, hindering the UX for borrowers.

Absolutely agree. Interest rate AMMs streamline the process, making it more accessible and efficient for both lenders and borrowers. Looking forward to seeing how this innovation impacts the decentralized finance landscape.