Hassan Maishera
On Thursday, the Optimism team announced via X that Etherfi Cash is moving its credit backend to a dedicated Aave V4 instance on OP Mainnet. V4 arranges lending around a hub-and-spoke model, in which one capital hub supplies several borrow markets.
A single pool of liquidity, many forms of collateral, and something considerably harder to write than software: Aave's published audit record and a liquidation mechanism that has been tested through real market dislocations. The stated ambition is to carry lending capacity from tens of millions of dollars to half a billion.
Optimism’s main utility is to batch transactions on the Optimism network. Optimism allows users to enjoy lower gas fees on their transactions executed on the Optimism network through optimistic roll-up technology.
Optimism (OP) is a layer-two blockchain on top of Ethereum. Optimism benefits from the security of the Ethereum mainnet and helps scale the Ethereum ecosystem by using optimistic rollups. That means transactions are trustlessly recorded on Optimism but ultimately secured on Ethereum.
Optimism is one of the biggest scaling solutions for Ethereum, with over $500 million in TVL. It is home to 97 protocols, the biggest being Synthetix (SNX), a derivatives exchange, Uniswap (UNI), a DEX, and Velodrome (VELO), an AMM. Users can begin their journey on Optimism by adding the chain to their MetaMask and bridging tokens like ETH to the L2. On May 31, 2022, Optimism conducted a highly anticipated airdrop of its OP token.
OP is trading at $0.08644, down 0.3% in the last 24 hours.
