OSOM Finance Announces One-Click Yield Aggregator Providing Low-Risk Access To DeFi

Announcements, Blockchain, News | June 29, 2021 By:

Osom Finance has announced the launch of OSOM DeFi Earn, a one-click yield aggregator allowing users to generate passive, predictable income.

As regulators start to get to grips with decentralized finance (DeFi), users need to ensure that the protocols they’re using are reliable. However, the complicated onboarding experience and risks (regulatory and otherwise) existing in the DeFi sector continue to deter newcomers and hinder mainstream adoption.

DeFi Earn aims to alleviate these problems, aggregating the industry’s best and most reliable stablecoin lending pools into a single intuitive user interface from an EU regulated service provider. By utilizing reputable dollar-pegged stablecoins and proven providers, DeFi Earn mitigates the risks through intelligent diversification.

The platform works by automatically connecting to platforms such as Binance and AAVE, gaining exposure to their stablecoin lending pools, and generating interest on user’s assets. Osom converts users’ funds into stablecoins, which are then placed into the lending pools. Stablecoins can then be converted back to fiat currency at withdrawal. This enables the Osom users to capitalize on their savings and earn significantly higher yields than in traditional bank accounts.

Comparable to traditional finance offerings, such as bank deposits, bonds, capital markets and peer-to-peer lending, DeFi Earn allows users to lend out their assets and provide liquidity to the market. In reward for this, users are provided a percentage of the borrowing fees, providing them with passive income. This delivers a return profile akin to a deposit, bond or a peer-to-peer loan albeit in stablecoins.

“Yield farming via cryptocurrencies and stablecoins has opened up an entirely new wealth of opportunity,” said Anton Altement, CEO of Osom. “Crypto protocols — particularly those within the DeFi sector — offer healthy rewards to users willing to make their assets available to borrowers, while controlling the risks by ensuring appropriate collateralization. This emerging asset class is poised to disrupt the traditional banking system by offering significantly higher returns (e.g. 6%-8% USD yields in DeFi vs sub 1% in the traditional banks) and a more efficient risk management.

However, similarly to the early days of bitcoin, user interfaces of DeFi protocols are clunky and difficult to understand, and the fees for Ethereum transactions are keeping small lenders out. Osom’s DeFi Earn product delivers the value proposition of DeFi to its users by simplifying the interface and access modalities.”

DeFi Earn currently operates via two core stablecoins: USDC and BUSD. The selection of stablecoins relies on a thorough analysis of the asset track record, while providers and protocols are vetted for their quality. Osom plans to add more Stablecoins, as well as access to new CeFi and DeFi platforms in the future.