KLAP (Klaytn Lending Application) is a decentralized non-custodial liquidity market protocol where users can participate as depositors or borrowers. Depositors provide liquidity to the market to earn a passive income, while borrowers are able to borrow in an over-collateralized (perpetually) or under-collateralized (one-block liquidity) fashion.
Klap is a lending and borrowing market on Klaytn based on one of the largest DeFi protocols, AAVE.
Why did we choose Aave?
AAVE has grown to become one of the most respected and secure protocols in the space. As DeFi on Klaytn grows, the one-block flash loan feature will also give rise to a lot of MEV and arbitrage strategies, increasing the usage of the protocol.
How is KLAP different?
KLAP will have several fundamental differences from AAVE and other DeFi protocols in the Klaytn ecosystem.
Firstly, KLAP will be built by several experienced DeFi/Web3 developers who want to build a bigger DeFi ecosystem on Klaytn. KLAP will be fully open-source, and will be built with security in mind.
We also place a lot of importance in developer UX. Interoperability in DeFi is extremely important, and we will build KLAP in a way that it is easier for other developers in the ecosystem to integrate with it. KLAP will be fully open-source from day 1.
Our team has a wide network across developers and projects not only in Klaytn but also other ecosystems. We will be bringing in more projects and liquidity, including bridges, DeFi users and funds, partnerships, etc in order to boost the protocol.
Finally, we have incorporated some of the most modern innovations in DeFi architecture and tokenomics designs into KLAP. We have spent a lot of time researching into the many iterations of token launches, Pool 2, emission rates, and simulated countless times to reach more optimal numbers. Users will be able to experience Solidly-style veNFTs, Platypus Finance-esque PvP yield boosters, decentralized governance via veNFT voting on emissions and important protocol-level decisions, Geist-like penalties for mercenary capital / farm & dumpers, significant rewards and yield boosts for long-term holders and liquidity lockers.