Nolus Protocol introduces a Web3 financial suite that brings a fresh perspective to money markets, featuring an innovative DeFi Lease solution that propels DeFi forward. This lease model enhances crypto money markets by lowering the high over-collateralization demands typical of the industry, offering users notably better capital efficiency and more attractive lending options. Nolus' DeFi Lease enables up to 150% financing on initial investments with reduced margin call risks and access to underlying leveraged assets via curated yield-bearing strategies.
Built on a semi-permissioned PoS blockchain leveraging the Cosmos SDK and a WASM smart contract engine, the protocol emphasizes interoperability, security, and high performance.
At the core of Nolus’ capabilities lies its focus on interoperability, utilizing IBC and Interchain Accounts to integrate with various liquidity hubs without fragmenting assets, broadening access to liquidity across ecosystems.
The DeFi Lease establishes a money market between asset lenders seeking yield and borrowers aiming to access a larger asset base than their current equity allows.
Borrowers secure a down payment as collateral, enabling leverage of up to 2.5x in their chosen digital asset. Nolus generates deposit yields through interest-bearing DeFi Leases, providing attractive returns to asset lenders and incentivizing lending activity on the platform.
Borrower terms are fixed for the duration of the lease, ensuring predictable cash flows and consistent reward distribution for lenders. To support NLS token value, the protocol reinvests cumulative profits—derived from lease contracts, swap spreads, and transaction fees—into repurchasing NLS tokens from the open market.