Paribus: Unlocking Liquidity for Unconventional DeFi Assets

How Does Paribus Function?

To put it simply, Paribus is a Cardano-based cross-chain DeFi protocol that will unlock underlying liquidity for a wide range of both conventional and unconventional virtual assets. The platform works to offer DeFi asset holders and investors the opportunity to extend the reach of their otherwise stagnant digital assets and positions.

What Assets are Supported by Paribus?

  • Virtual Land: As a recent Decentraland sale showed, Virtual Land is a steadily growing aspect of the DeFi world with land going for as much as $900,000. Paribus aims to support this asset class by proposing a suite of smart contracts that will allow for collateralization with Virtual Lands, and try out ideas that will unlock liquidity through these assets with borrowing and lending.
  • Synthetics and LP (Liquidity Provider) Tokens: With a target of serving more sophisticated use cases with both Synthetics and LP tokens, Paribus aims to build a product line for borrowing and lending to better leverage the various underlying assets.

Paribus Users

There are two primary types of users on the Paribus platform, which are:

  • The Borrowers: As Paribus aims to act strictly as a collateralized loan platform, any borrower must deposit an asset of their own to borrow against. Therefore, borrowers are also indirect liquidity providers on Paribus, and they help the platform stay sustainable and self-sufficient.

The PBX Token

The PBX token is the governance token of the Paribus platform. The PBX token was built to facilitate decentralization on Paribus in a way that lets all PBX holders participate in platform governance. Just like any governance token, PBX allows owners of the coin to create and vote on governance proposals. Further advantages of the PBX token include the fee-sharing aspect of it; PBX token holders can gain a percentage of the fees generated by the platform following the number of tokens they hold.

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