Galahad - Liquid Re-Staking
Galahad Finance: Yield-Bearing Stablecoins for DeFi
Galahad Finance is a decentralized finance (DeFi) platform that is built on the concept of Liquid Staking Derivatives (LSD). The platform initially focuses on leveraging staked assets from Lido Finance, specifically ETH proof-of-stake and stETH, as its primary components. Galahad Finance allows users to borrow against their deposited ETH and stETH, which in turn facilitates the minting of $gfUSD, the stablecoin native to Galahad Finance.
Key Features
Yield-Bearing Stablecoins:
Galahad Finance introduces $gfUSD, a stablecoin that earns passive yield by utilizing DeFi protocols. Holders of $gfUSD automatically receive returns on their assets.
Dual Token System:
The protocol operates with two tokens: $GFC and $xGFC. $GFC serves as the primary utility token, while $xGFC represents a staked version, granting governance rights and additional benefits to holders.
0% Interest Rate:
Users can access loans without incurring any additional cost, making them highly attractive for borrowers. The 0% interest rate sets Galahad Finance apart from many other lending platforms that typically charge interest on borrowed funds.
Minimum Collateral of 150%:
To ensure the security and stability of its lending platform, Galahad Finance requires borrowers to provide collateral worth at least 150% of the borrowed amount. This collateralization ratio mitigates the risk of default and safeguards lenders' funds.
How Galahad Finance Works
1. Minting $gfUSD:
Users can mint $gfUSD by depositing collateral into the protocol. The deposited assets are used to generate yield, which is distributed to all $gfUSD holders over time.
2. Staking $GFC:
By staking $GFC, users receive $xGFC, which grants governance rights and additional platform benefits, incentivizing long-term participation.
3. Earning Yield:
The protocol utilizes deposited collateral to generate returns through various DeFi strategies, ensuring stable and sustainable yield distribution to holders of $gfUSD.
Earn passive income with Galahad Finance—borrow against staked ETH and stETH while holding $gfUSD for rewards. Learn more about how it works by visiting Galahad Finance Docs.
