DeFi platform Altitude launches publicly for collateral-optimized lending

Altitude, a decentralized finance (DeFi) platform focused on optimizing collateralized lending, has officially opened its vaults to the public, marking the successful conclusion of its private beta phase. This public launch means DeFi users can now access Altitude’s automated strategies designed to efficiently manage their collateral for both lending and borrowing activities, aiming to enhance capital efficiency and simplify the borrowing process. The transition to a public platform follows a fruitful eight-month private beta period, during which whitelisted participants had the opportunity to test and validate Altitude’s capabilities. The protocol performed smoothly during this phase, attracting a Total Value Locked (TVL) of over $5 million. With this proven track record, Altitude is now inviting the broader DeFi community to experience its innovative lending solutions. At its core, Altitude is engineered to support highly efficient management of on-chain borrowing. The platform’s primary goals are to ensure greater capital efficiency for users while diligently preventing loans from becoming under-collateralized, a common risk in the volatile crypto markets. Its user-friendly dashboard provides a clear indication of the health of each loan, based on its Loan-to-Value (LTV) ratio, and offers intuitive controls for users to adjust their desired parameters. A key differentiator for Altitude is its pioneering approach to automated rebalancing; it is reportedly the first DeFi protocol to automatically rebalance borrowing positions for users based on fluctuations in the price of collateral assets like Bitcoin (BTC) and Ethereum (ETH). Tackling capital inefficiency and complexity in DeFi lending Traditional on-chain loans often suffer from capital inefficiency. Many DeFi users typically borrow at an LTV of around 40-50%, which means a significant portion of their deposited collateral remains effectively idle, not generating any returns. Altitude aims to address this by actively managing these positions. Initial users of the Altitude beta have praised the platform for the greater capital efficiency it offers, coupled with a significant reduction in the complexity normally associated with managing DeFi loans. This, in turn, frees them to concentrate on yield generation and exploring other opportunities within the decentralized finance ecosystem. Altitude’s automated system works dynamically. When the value of a user’s underlying collateral increases, the platform can borrow against this increased value. The newly borrowed capital is then deployed to generate yield, which is subsequently used to reduce the outstanding loan balance. Conversely, if the value of the collateral decreases, Altitude automatically returns funds to the lending pool to maintain an optimal LTV ratio, safeguarding against liquidation. Furthermore, Altitude’s automated lending and borrowing solution actively identifies preferable lending rates across different protocols and adjusts user positions accordingly, ensuring that users are consistently financed at the most attractive rates available. Strong backing and a vision for effortless DeFi management Altitude’s innovative approach has garnered significant support from the investment community. The platform successfully raised a total of $6.1 million in funding from a roster of leading Web3 venture capital firms, including Tioga Capital, New Form Capital, and GSR. Investors were reportedly impressed by Altitude’s solution, which aims to provide DeFi borrowers with peace of mind while simultaneously enabling them to safely generate the maximum available yield from their assets. With the private beta now successfully concluded, the opening of Altitude’s lending markets to the general public marks a significant next step in its evolution. Through an intuitive user interface, DeFi users can now take greater control of their lending and borrowing activities without the need for constant manual monitoring of their positions. This empowerment allows them to earn attractive yields on their assets, even amidst the ever-changing and often unpredictable conditions of the crypto market. Altitude operates as a decentralized protocol on the Ethereum blockchain, focused on optimizing collateralized lending by ensuring the lowest possible cost of borrowing and generating yield from users’ otherwise dormant collateral through active, real-time management of debt and collateral. The post DeFi platform Altitude launches publicly for collateral-optimized lending appeared first on Invezz

Source: Invezz