I would like to add the $iETH as a borrowable asset in Aada V1.
Indigo is an autonomous synthetics protocol for on-chain price exposure to real-world assets, built on Cardano. iBTC and iETH are Cardano synthetic versions of BTC and ETH from Indigo and iUSD is a decentralized and overcollateralized Cardano native stablecoin
The protocol currently has a total collateral ratio of 194%, and Indigo is the 2nd largest protocol by TVL on Cardano (as per DefiLlma).
iAssets (such as iBTC and iETH) are not wrapped assets (e.g., an asset linked by a bridge to a deposit made on another chain); instead, iAssets use a price Oracle to track the price of the underlying asset.
Ethereum is the second largest cryptocurrency by market cap and the largest by TVL
Introducing iETH as a borrowable asset will allow users to trade on Ethereum price-action without having to leave the Cardano ecosystem.
- Introduces a non-bridged ETH linked asset to the Cardano ecosystem
- Users can deposit $iETH in Indigo’s Stability Pools and earn $ADA from liquidated CDPs;
- Liquidity farming on DEX’s
The Oracle that provides the price feed is run entirely by the Indigo team which means it’s centralized and represents a possible single point of failure of the protocol. Users should be aware of this when trading iAssets.
Diluted Market Cap (Taptools): 12.99M ₳ (02.06.2023)
TVL (Minswap): 55.81K ₳ (02.06.2023)
Volume 24h (Minswap): 1.15K ₳ (02.06.2023)
Adding $iETH as a borrowable asset to the Aada Finance protocol will enable users to borrow the token to take advantage of its utility and trade on Ethereum price-action without having to leave the Cardano ecosystem.