What Is Cream Finance?
Cream Finance is a decentralized lending protocol allowing users to borrow or lend assets freely from a pool. It is non-custodial, meaning users maintain control of their assets throughout the lending or borrowing.
Background
The protocol was launched in August 2020 as a fork of Compound. However, it suffered an exploit leading to decommissioning the v1 markets on Ethereum. Despite this, Cream Finance continues to operate and is now available on Polygon, Arbitrum, and BSC.
How It Works
The interest rate on borrowed or lent assets is set algorithmically based on the demand for the asset. Cream Finance’s native utility and governance token, CREAM, is used for voting, staking, and boosting rewards. Users who stake and lock up their CREAM tokens receive iceCREAM, which is non-transferable and non-tradeable.
Key Takeaways
- Cream Finance is a decentralized lending protocol that allows users to lend or borrow assets.
- It is non-custodial, implying that users retain control of their assets throughout the lending or borrowing process.
- The protocol was launched in August 2020 as a fork of Compound and is now available on Polygon, Arbitrum, and BSC.
- The interest rate is set algorithmically based on the demand for the asset.
- Cream Finance’s native utility and governance token, CREAM, is used for voting, staking, and boosting rewards.
