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Lending Protocol

A DeFi app where you deposit a token to be borrowed by others. You earn interest from the borrowers; they post collateral to back the loan.

See also

Terms related to Lending Protocol

CDP (Collateralised Debt Position)

Locking crypto as collateral to mint a stablecoin against it. You keep upside on the collateral while spending the borrowed dollars.
Stablecoin

A token engineered to track $1 — backed by reserves, by other crypto, or algorithmically. Used as cash inside DeFi.

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