Wing, a lending protocol constructed on the Ontology blockchain, at the moment has $180 million in crypto belongings staked on its platform — not a meager quantity, even by Ethereum (ETH) requirements. 

Eric Pinos, Ontology’s ecosystem lead for the Americas and an advisor to Wing, instructed Cointelegraph that he believes two options make this DeFi challenge distinctive: cross-chain interoperability with Ethereum and the truth that lending is credit-based, permitting for loans to be under-collateralized. The system’s OScore analyzes every consumer’s on-chain conduct to generate a credit score rating. This then determines the quantity of collateral the consumer must publish for a given mortgage:

“So as a substitute of every thing being over-collateralized proper now, it’s a must to put up $10,000 if you wish to borrow $8,000 with undercollateralized loans, you’ll be able to present a credit score rating that is constructed off of your on-chain transaction historical past and your DeFi interplay historical past.”

Pinos mentioned that this characteristic just isn’t but dwell, although he famous that will probably be built-in into the following pool.

Not like old school off-chain credit score historical past the place the score company sometimes has entry to most if not all related info, the on-chain counterpart doesn’t, as a consumer can select which addresses or accounts to submit and omit. Pinos mentioned that they may attempt to mitigate these challenges by combining on-chain and off-chain information, comparable to social media profiles.

Pinos hopes that the distinctive options of Wing will appeal to extra customers and belongings. He mentioned that they beating large on the DeFi cross-chain interoperability, whereas the excessive price of transactions on Ethereum might additional assist their trigger.