Ratio Finance partners with Swim Protocol
Overview
Ratio Finance, a quantitative risk assessment protocol on Solana, whose first product is a Collateralized Debt Position (CDP), is pleased to announce its official partnership with Swim Protocol, a multi-chain AMM for native assets designed to make bridging as easy as possible.
While Swim Protocol is a relatively new entrant to the Solana blockchain, it has already cemented itself as a powerhouse in the broader multi-chain DeFi ecosystem. With the broader crypto ecosystem rapidly transitioning towards a new, multi-chain paradigm, DeFi applications and liquidity are becoming increasingly scattered across siloed and separate networks. Swim is perfectly positioned to help address this increasing fragmentation and establish itself as a critical piece of infrastructure in the months and years to come.
Ratio Finance is thrilled to collaborate with Swim on a number of exciting initiatives. These include onboarding $swimUSD as one of the first multi-chain stable-assets to ever be accepted on a (CDP) platform thereby allowing $swimUSD holders the opportunity to mint $USDr, integrating $swimUSD as the first ever protocol to participate in both $RATIO Rewards & Ratio Governance, collaborating with the Swim team to determine pricing, and lastly, opening the door for $USDr to go cross-chain.
What is $swimUSD?
$swimUSD is a continuously yield bearing single sided stable asset, fully collateralized and composed of a basket of multi-chain stablecoins in Swim’s signature hexapool.
$swimUSD’s functionality acts similarly to that of an LP token on an AMM, and the primary mechanism that $swimUSD provides is the seamless swap of stablecoins between chains.
What is $USDr?
$USDr is the first-ever dynamically risk-adjusted stablecoin, over-collateralized by yield bearing stable collateral. Stablecoins are only as strong as the collateral that is backing them, and by introducing the Ratio Risk Rating (RRR) system as a data-driven rating system that measures qualitative and quantitative risks for each unique digital asset, the Ratio Platform can dynamically assess the collateral backing $USDr and ensure that $USDr is always backed by the highest rated forms of collateral.
$USDr Backed By a Basket of Cross-chain Stables
Onboarding $swimUSD as the very first form of multi-chain collateral on the Ratio Finance platform is incredibly notable for two reasons. First, this effort mitigates and diversifies the idiosyncratic risks associated with only accepting collateral from the Solana Network, as the underlying value of $swimUSD is diversified across several different blockchains. Second, this onboarding highlights the importance and significance of Ratio’s emergence as one of the first ever CDP’s that has integrated multi-chain collateral across the entire DeFi landscape.
$RATIO Rewards on $swimUSD
Ratio Rewards are finally here! Ratio is incredibly excited to announce that Swim is the first-ever protocol to participate in Ratio Governance (more details coming soon). Ratio Rewards will incentivize the growth of $swimUSD as well the growth and stability of USDr by allocating $RATIO Rewards towards the $swimUSD vault (more details coming soon). $swimUSD holders will earn $RATIO by depositing their $swimUSD on the Ratio platform and minting $USDr.
Pricing of $swimUSD
The multi-chain nature of $swimUSD makes pricing challenging, but not impossible. Ratio’s Financial Engineering team is working hard to create a price for $swimUSD that reflects the total balance allocated in all blockchains and real-time market conditions.
$USDr Going Cross-chain
Lastly, Ratio partnering with the Swim Protocol provides the opportunity for $USDr to go cross-chain and find use cases and integrations on other platforms outside of the Solana ecosystem. As $USDr continues to grow in the coming months, be sure to keep your eye out for announcements on where $USDr will be accepted next!
