Unlocking Smarter Capital Efficiency in DeFi
What I have personally found to be frustrating about DeFi is that inefficient capital is not only possible but essentially unavoidable. You stake assets to earn yield, but the assets are tied up. You take a loan, and the collateral just sits there. Sooner or later, the experience becomes more like a juggling act than a reward.
I'm enthusiastic about the projects that are maximizing asset use. I ran into Dolomite and found that it is not your average lending protocol. It is a liquidity layer wherein your assets are still earning when you use them as collateral. It is a mix of lending, margin trading and stacking of strategies.
What I like most about it, compared to protocols such as Silo or Gearbox, is that it is composability and automation oriented. You don’t have to micromanage your positions, the protocol will do that for you.
It is not flashy but would make DeFi less drab to deal with. And with Dolomite now listing on exchanges such as Bitget, we will certainly have a blast seeing how much more it grows and gains popularity within the space.