Value Proposition For Your Users
Last updated
Last updated
Despite all the bells and whistles of the Nth technological improvement slightly improving speed or cost - or forced implementation of “AI” for buzz purposes in the crowded L2 space - if we get down to brass tacks, the core question for any new L2 is - why will users use it over other alternatives and over Ethereum?
For DeFi focused chains, the question boils down to simply: Can this chain help users earn higher returns with lower risk and bear lower costs & less effort than other ecosystems - and can they run strategies they want that are not possible on other ecosystems?
Below is how Prime's configuration and native features provide an unparalleled DeFi experience for users:
Higher Returns: Cross-margining enables higher returning strategies and novel use of yield-bearing collateral. Higher returns for borrowers means they are willing to pay higher costs to lenders - so lenders also earn higher returns.
Lower Risk: Cross-margining massively reduces the risk of liquidation across different products, so risk of loss on Prime is significantly lower than other DeFi ecosystems.
Less Effort: A slew of strategy vault developers means complex strategies that take full advantage of Prime’s configuration are accessible with a few clicks. A unified UI also streamlines the user journey to complete different trades, use different products & manage their portfolio.
Lower Costs: Combination of utility of high yielding collateral means net borrow costs on leverage are lower. Cost of trading on the order book for market makers is also as low as possible with native CeDeFi configuration - which means more liquidity and better trade execution for takers, and even enables 0 slippage trading of pegged assets.
Run Desired Strategies: Cross margining and cost-effective native order book matching means any market participant from crypto newbies to quantitative crypto hedge fund can run their desired strategies.