It’s the moment we’ve all been waiting for… the Meme Finance dapp is live on the Ethereum mainnet!
mefi dapp: https://mefidapp.io/#/dashboard
While we only publicly launched our protocol and the $mefi token a little over a week ago, this dapp is the culmination of months of work behind the scenes. Our goal was to create a tool that would allow its users to unlock the full potential of one of the most lucrative spaces in crypto: meme coins.
The Meme Finance team is grateful to the community for all of the feedback, suggestions and support as we worked tirelessly to bring this protocol to fruition.
How it Works
We wanted to make the dapp as user friendly as possible. To use it, you simply:
- Connect your MetaMask wallet to the dapp
- Choose the desired token to provide as collateral and a time frame (more details later in this article)
- Click ‘Supply’
- Enter the amount of collateral you would like to provide
- Click ‘Approve’ (only necessary the first time)
- Confirm the transaction in MetaMask
- Click ‘Supply’ and confirm the transaction in MetaMask
And that’s it! You’ve now successfully borrowed ETH using your collateral. All of the loan details, including the amount of collateral supplied, ETH loaned, repayment and time left, will be shown on the dashboard.
Updated Time Frames and Interest Rates
As we previewed in our last article, we have extended the two borrowing periods to 12 and 24 hours. These extended time frames significantly reduces the pressure on you being able to repay the loan on time. It could also mean the difference between a modest 2–3x gain or 100x+ should a rogue Vitalik Buterin tweet skyrocket the token to the moon (looking at you, $THE…).
Those extended borrowing periods will have the following interest rates for non-$mefi token holders:
- 12 hours — 4%
- 24 hours — 7%
We felt a modest increase in the interest applied to loans was fair given the increased potential to make exponential gains. That said, $mefi holders will not be charged any interest when borrowing for either time period.
Eligible $mefi holders will be able to borrow ETH at 75% of the collateral’s valuation. Eligibility is determined by the amount of $mefi tokens held by the user. This is an adjustable figure, which will be made clear on the dapp’s user interface.
Non-holders will receive ETH at 40% of their collateral’s valuation for the 12-hour time period, and 25% for the 24-hour time period.
Repayment and Liquidation
In keeping with the user-friendly theme, we coded our smart contract to automatically deduct the appropriate amount — loaned amount and interest, if applicable — from the borrower’s wallet. All the user has to do to initiate this process is click ‘Pay.’
Should the borrower not repay the loaned amount within the specified time frame, the smart contract will auto-liquidate the provided collateral. This process occurs immediately after the timer for the repayment window reaches zero. Those funds will be added to the contract, which will be used to lend.
Note: We’ve seen your questions regarding price volatility with meme coins. As of now, there is no mechanism that would auto-liquidate the provided collateral should it suffer a significant price drop. We do, however, plan to implement this feature in a future update.
Our Next Chapter
Launching the dapp is a major milestone for our team. And we couldn’t have accomplished it without our community. But as we’ve said all along, we see this as the true beginning of our protocol.
Now, we’re shifting more of our focus to growing our protocol. So far, we’ve spent 5 ETH ($6500)on marketing — those efforts will be ramping up in the coming days/weeks. We’re also making a concerted effort to have our smart contract audited.
Finally, we’re excited to announce additional benefits for $mefi holders. As we mentioned previously, we will add the ability for users to lend their own ETH, with a portion (70%) of the interest on the loan going straight to the lender’s pockets. But by simply holding $mefi in your wallet, you’re guaranteed to receive a portion of ALL of the interest collected on loans. This will occur after we collect a certain amount of ETH from the interest on loans. More details will be provided on this in a future article.
Please keep the feedback and suggestions coming. While we’ve poured our heart and soul into this project, it’s ultimately for you — the community.
CoinGecko: The meme finance Price in USD: MEFI Live Price Chart & News | CoinGecko