Written by Miguelrare / HONKAYO
Illustrated by Pepe Jones
Produced by getmoni.io
Description: Borrow, lend, long or short any token on any chain.
Segment: DeFi
✦ Discover: https://discover.getmoni.io/Surge_Fi
Twitter: https://twitter.com/Surge_Fi
Discord: Look for an invite on their twitter
Website: -
This protocol was created to solve the problem DeFi lending protocols due to the lack of reliable and manipulation-resistant price feeds., whether it is just long-tail tokens, LP positions or NFT. The protocol takes a new approach to solving the problem by introducing the concept of dynamic collateral ratio as a function of utilization rate over time as opposed to a function of price feeds. In fact, this can be called something innovative, which is why the project received huge attention from the outside in the shortest possible time.
One approach that hasn’t been explored yet is a dynamic collateral ratio as a function of utilization rate over time as opposed to a function of price feeds.
Surge protocol introduces the concept of the surge threshold, a utilization rate threshold at which the pool collateral ratio gradually starts to fall*.*
Below is a chart that illustrates the change of the collateral ratio based on the utilization rate of a hypothetical Surge pool, in this example, we will try to simply explain the operation of the protocol:
