Lending/Borrowing Protocols

List of top Lending/Borrowing Protocols coins by market cap. The current Lending/Borrowing Protocols coin market cap is $561.94M , which has changed by -2.25% in the past 24 hours; the Lending/Borrowing Protocols coin trading volume is $2.63M, which has changed by +0.09% in the past 24 hours. There are 63 cryptocurrencies in the Lending/Borrowing Protocols coin list today.
Lending and borrowing protocols are decentralized finance (DeFi) platforms that enable users to lend their cryptocurrency assets to earn interest or borrow digital assets by providing collateral. These protocols utilize smart contracts to automate lending mechanisms, eliminating the need for traditional intermediaries like banks. Users who deposit their crypto assets into liquidity pools earn yield through interest payments from borrowers, while borrowers can access liquidity by locking up collateral, typically at over-collateralized ratios to mitigate default risk. Major lending protocols like Aave, Compound, and MakerDAO have become fundamental infrastructure in DeFi, offering various asset types and flexible terms. These platforms operate transparently on-chain, allowing anyone to participate regardless of geographic location or credit history. The sector has grown significantly as it provides an alternative financial system for earning passive income and accessing credit without traditional banking requirements, though it carries risks including smart contract vulnerabilities, liquidation risks, and market volatility.