WTF is…Element Finance?
Pepe loves his fixed rate income! If you’ve ever been on the lookout for fixed income in crypto you may already know of Element Finance. The DeFi primitive, which launched their testnet in May and on the Ethereum mainnet in July, has become the leading fixed rate marketplace. While fixed rates might not seem as sexy as a 10x lever on some shitcoin they are sort of the oil in the engine for mature financial markets. In the normie world the interest rate swap market does trillions of dollars in volume annually as institutions look to lock in a fixed rates to hedge risk, or speculate on variable rates to turn a profit. IRL, this massive market transacts pretty much entirely via exclusionary Over The Counter (OTC) trading. Conversely, Element’s primitive introduces a trustless and permission-less marketplace for a number of assets. How does Element work and what is it bringing to the DeFi space? Down the rabbit hole we go, anon.