Crypto borrow and lend the Euler Finance platform has just retreated from the Defi desert.
The protocol This week has won new heights of all time in total locked value (TVL) and total borrowing – two metrics of activity for a DEFI lender.
The hundreds of millions of millions of Euler crypto-dollars now under management could leave it unless the Loan Powers of the Ethereum world, such as the Dollars multi-loving. But it is nevertheless remarkable for a protocol that almost passed Kaput following a hacking of $ 200 million exactly two years ago.
“Many people have rejected us and said it would have been completely normal for us to end the project there,” said Michael Bentley, CEO of Euler Labs. But her team decided to stick to her and rebuild Euler – from scratch.
Their new vision was a highly customizable borrowing center where people could adapt the risks, yields and asset parameters of their swimming pools. It was a big difference compared to the original Euler, which Bentley described as “a specific product: a loan market”.
“There is simply no one -sized size when it comes to lending and borrowing,” said Bentley.
The return was barely assured: while the hacking victims had recovered their money, Bentley and his team wondered if the market had an appetite for a protocol with a tarnished reputation.
This did not help that Eluling essentially missed a large part of the Survation DEFI 2024 while being seated in pre-launching security journals. Euler finally started his V2 in September 2024, almost a year and a half after having been dark.
The protocol helped justify its performance with a relatively modest incentive budget: a “million” dollars of Eul tokens to wake people, at a time when it claims that competitors offered tens of millions of dollars more., Said Bentley, allocating most of the growth to “the adjustment of the product market”.
Even now, as an Ether – a critical collateral active ingredient for loan platforms through Ethereum DEFI – continues in price spiral, Euler continues to grow. It is one of only two loan protocols in the top 10 to see the growth of active loans in the last month.
If it ends up being a lower market, I am always confident, given the success of Euler V2 so far, that Eulle will always develop compared to some of the other opportunities, “said Bentley.
