“ As the first fully decentralized lending and borrowing protocol in DeFi, Timeswap has been making waves in the crypto community since its launch on Polygon mainnet in March 2022 ". However, the team behind Timeswap didn’t rest on their laurels and continued to improve the platform, releasing Timeswap V2 in late 2022. In this thread, we’ll be comparing TimeSwap V1 and V2, highlighting the changes and improvements made in the new version.
Changes Made in TimeSwap V2
According to the official Medium post on TimeSwap V2, the new version of the platform includes several key changes that improve upon the original version. Here are a few of the main changes:
- Increased capital efficiency: One of the biggest changes in Timeswap V2 is an improvement in capital efficiency, which is said to be increased by 4x-5x compared to V1. This means that users will be able to lend and borrow more with the same amount of capital.
- Oracle-less lending and borrowing: Another major change in Timeswap V2 is the ability to perform lending and borrowing without the need for oracles. This eliminates the need for third-party data providers and makes the platform more decentralized and self-sufficient.
- Fixed-maturity lending and borrowing: In addition to oracle-less lending and borrowing, Timeswap V2 also supports fixed-maturity lending and borrowing. This allows users to borrow or lend for a specific period of time, rather than just on a perpetual basis.
How V2 Will Improve Capital Efficiency than V1
According to the official Medium post on TimeSwap V2, the new version of the platform has been designed to increase the capital efficiency by 4x-5x compared to V1. The team behind TimeSwap has achieved this improvement by introducing several key changes to the platform’s architecture.
One of the main changes is the use of a three-variable Automated Market Maker (AMM) in TimeSwap V2. This allows the platform to better match borrowers and lenders, reducing the amount of capital required to keep the platform running smoothly. Additionally, by eliminating the need for oracles, TimeSwap V2 reduces the amount of capital required to cover potential losses.
Another key change in TimeSwap V2 is the introduction of fixed-maturity lending and borrowing. This allows users to borrow or lend for a specific period of time, rather than just on a perpetual basis. This improves capital efficiency by reducing the amount of capital required to keep the platform running smoothly.
FAQ
Q: How does TimeSwap V2 compare to V1 in terms of capital efficiency?
A: TimeSwap V2 is said to have 4x-5x higher capital efficiency compared to V1. This is achieved through the use of a three-variable AMM, oracle-less lending and borrowing and fixed-maturity lending and borrowing.
Q: Are there any other major changes in TimeSwap V2 compared to V1?
A: Yes, there are several key changes in TimeSwap V2 compared to V1. The platform now supports oracle-less lending and borrowing and fixed-maturity lending and borrowing. Additionally, the architecture of the platform
Please keep in mind that the information provided is based on what is available on TimeSwap Medium publication.
Discord:https://discord.gg/timeswap
Medium:https://medium.com/timeswap/
