EZ Finance – Leverage Your Incomes Yield Farming

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20 Jan 2023
34

Finance
, a cutting-edge financial platform that aims to make managing finances easy and accessible for everyone. Let’s take a closer look at EZ Finance
, and discover how it can help you reach your financial aspirations.EZ-Fi
is a leveraged yield farming protocol on Sui and Aptos. It involves three parties: Lenders, Yield farmers, and Liquidators. Lenders can lend assets to earn a higher lending interest rate. The interest comes from leveraged yield farmers and liquidity providers who borrow assets to yield farm and provide liquidity. Yield farmers and liquidity providers can perform leveraged yield farming on various asset pairs within various DEXes for higher APY and trading fees. Liquidators can perform liquidation on active positions at a 100% debt ratio for a chance to earn a 5% bounty incentive.EZ Finance
aims to address three market opportunities by offering high lending interest rates through leverage yield farming, a simple and convenient way for users to leverage their positions and earn a higher yield, and acting as a bridge for projects to bootstrap liquidity in their pools on selected AMM protocols. The platform continues to expand on new networks to support lending on various assets and integrate with more AMM protocols.
EZ
offers high yields on farming, but it also comes with risks associated with the volatility of assets. The platform has a strong pool screening and due diligence process to ensure that it offers high yields on quality pools from top DEXes, while maintaining high protocol security to protect users. To ensure high security and transparency, the platform has multiple audits from top-tier auditors, operates under a non-anonymous team and more insurance options are coming. To enhance the quality of farming experience, the platform has certain criteria for listing new pools and assets such as:Assets should have supported price feed from shortlisted oracles & popular trading pools from top DEXes
with strong demand;New pools should have high liquidity, high trading volume; tokens in the asset pairs should have high circulating market cap, low volatility, certain degree of decentralization and a track record of presence in the market for a decent amount of time.EZ Finance
allows users to begin yield farming with just one type of asset. It gives the option to supply any combination of assets, without having to supply an equal amount of assets for a liquidity pool as in traditional yield farming. This brings customized yield strategies which can suit any market conditions. Moreover, flexible borrowing of multiple assets allows users to hedge their positions on EZ-Fi and farm even in a bear market. Existing LP providers can easily migrate their position to EZ-Fi by supplying in the LP token, as long as the pool is already listed on EZ-Fi.Alpha Oracle Aggregator uses top-tier cross-chain oracle services to ensure accurate price feeds and stability for the platform even when one oracle service is out of sync.Potential risksOne of the risks is impermanent loss, which occurs when the price of one token in a liquidity pool changes in comparison to the other token.Another risk is liquidation, which happens when the value of the collateral assets is less than the value of the borrowed assets. Additionally, there is a risk of price slippage when using the advanced farming mode, where users can choose to borrow multiple assets and decide the percentage shares of the borrowed assets in the liquidity pool. If not chosen carefully, it can result in high price slippage.EZ-Fi
offers solutions to mitigate these risks such as opening positions on pools with tokens that move in correlation with one another, making sure the value of collateral assets is higher than the value of borrowed assets and choosing the right percentage shares of borrowed assets in the advanced farming mode.

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