The Cardano-based decentralized finance platform keeps on implementing new features aimed at attracting more users to the Cardano network. With implementing NFT and regular "bonds," platforms like Aada aim at creating new investment possibilities and market exposure, per ADAWhale.
According to a tête-à-tête AMA session with the representative of the platform, the goal is to create a platform similar to Aave for Cardano, besides innovative features like NFT bonds.
Besides new features never seen on Cardano before, users will be able to borrow, lend, transfer and trade loans. Implementing basic and familiar loaning and borrowing functionality is expected to ease up the transfer from an Ethereum- or Solana-based platform to Cardano network.
4/What key features can users expect?
— ADA whale (@cardano_whale) April 7, 2022
The basic functionality will be to borrow, lend, transfer and trade loans
These loans (“NFT bonds”) are not locked with accounts but can be transferred from wallet to wallet, a crypto novelty!
This is huge, and only possible on Cardano pic.twitter.com/da23gTE65c
As for new Cardano ecosystem features like "NFT bonds," traders will be able to trade or send those bonds from wallet to wallet as those are not locked into an account.
In a nutshell, NFT bonds are two different types of assets: borrower's note and lender's bond. The first one holds an NFT and pays back the loan with a guarantee to take back the collateral before maturity. The lender's bond works with the other with a guarantee to claim a loan, interest if the loan was liquidated and interest with collateral.
Regular bonds will act in a similar way to traditional financial alternatives, where they bring interest over time depending on the bond's type and percentage. Bonds bought on the decentralized platform are expected to bring a certain amount of tokens in the next few months when they expire.
Reportedly, traders will be able to trade those bonds with the alternative traditional version of the asset.
Alex Dovbnya
