Venus Protocol Expands to Base Chain, Marking a Milestone in Its Multichain Strategy

The governance proposal VIP-408, which suggested deployment on Base, has been approved. Access to Venus on Base will be available to users starting on December 19th.

Venus is heading to Base, expanding its presence across multiple chains. Following the approval of governance proposal VIP-408, Venus will now be available on Base.

Access to Venus on Base will go live on December 19th for users to experience.

Stay tuned for the official announcement from XVS:

XVS Info

Venus Protocol is a decentralized finance (DeFi) platform on the BNB Chain, merging the functionalities of Compound (a money market system) and MakerDAO (a stablecoin creation system) to offer a unique DeFi experience. Developed by the team behind Swipe, a global cryptocurrency credit card issuer, Venus acts as a bridge between traditional finance and DeFi, while also addressing common challenges faced by Ethereum-based platforms.

The core offerings of Venus include lending, borrowing, and minting synthetic stablecoins. Users can deposit their cryptocurrency into the platform to earn compounded interest or to use their deposited crypto as collateral for borrowing. Borrowing on Venus requires over-collateralization to ensure the security of the loan.

To facilitate borrowing and lending, Venus employs dynamic interest rates that are determined by market demand, such as the utilization of BNB or ETH. This demand-driven approach enables automatic adjustments to interest rates for both lenders and borrowers.

Furthermore, the Venus Protocol allows users to mint its native stablecoin, VAI, against their collateral. This minting process utilizes vTokens, which represent the user's deposited collateral (e.g., depositing USDT would yield vUSDT). With these vTokens, users can mint VAI, which is designed to maintain a peg to the USD while still being subject to supply-demand forces.

XVS, also known as Venus (BEP-20 standard), is the governance token of the Venus Protocol. It empowers token holders to participate in the development and adjustment of the platform's parameters. This includes voting on the addition of new tokens, changes to interest rates, and modifications to distribution schedules.

The Venus Protocol is notable for its community-centric approach, evident in the absence of pre-mines for developers or founders during the protocol's launch. Additionally, the protocol is introducing the Venus Vault, which will allow users to lock their XVS tokens to enhance the protocol's security and earn staking rewards.