Flint, the DeFi gateway for passive investments in cryptocurrencies, is entering its beta phase. Once launched, users will be able to earn passive returns through stablecoin deposits on the Solana blockchain. The developers of the protocol promise that these could be as high as 13% per year. According to the company's press release, there are no specific time requirements for depositing coins.
Born2Invest's team of journalists collects the most interesting business news in a single mobile app. It's impossible to keep up with everything that interests you, but our companion app will help you keep track of the news that matters. Our app is updated throughout the day.
DeFi protocol for fiat currency?
Compared to other DeFi protocols, Flint promises a fairly high return on stablecoin deposits. But the interesting thing is that you don't even have to own the cryptocurrency. Presumably, it also applies to fiat currencies – at least for the Indian rupee.
Flint uses only stablecoins such as Tether (USDT) and USD Coin (USDC) to generate returns. These are pegged to the US dollar at a 1:1 ratio, thus minimizing price volatility. In addition, Flint hedges its returns by further investing its stablecoins in the DeFi protocol.
The protocol runs on the Solana blockchain
Flint plans to invest up to $500 million over the next three years through the DeFi protocol on the Solana network. The ultimate goal is to launch Flint's Non-Fungible Token (NFT) store on Solana (SOL/USD).
Beta testing is available for up to 100,000 users. With the referral program, these individuals can earn more in return for their deposits over a specific period of time. Risk is reduced due to the lack of lock-in requirements and the use of stable coins like USDT instead of volatile cryptocurrencies.
Anshu Agrawal, co-founder of Flint, commented, "We're targeting nearly 500 million users worldwide from a variety of customer segments who are interested in cryptocurrencies, have idle cash or stablecoins, and are looking for higher returns than traditional investments. The best part is that Flint achieves all of this for our users without them having to worry about active cryptocurrency trading or price movements."
Akshay BD. Solana's startup advisor added, "We are excited to see startups like Flint take advantage of the Solana network. It allows us to offer valuable products that users can access on their phones as usual. Cryptocurrencies increasingly have a place in every investor's portfolio, and stablecoin returns could be a great starting point for most."
However, there are some factors that deter potential investors. For example, the risk of financial loss due to fraud, price volatility, and lack of clarity in DeFi branches. Flint promises an attractive solution that can be accessed through a mobile app. But each investor must do their own research.