Next up in our series of interviews with up-and-coming DeFi projects is Wing Finance, a credit-based cross-chain DeFi platform built by the Ontology (ONT) team. We asked them about the fundamental pain points they are addressing, unique features and the WING ecosystem, among other things.
Here's a summary of the questions:
1. Solving some fundamental problems with Wing Finance
2. The long-term vision of Wing Finance
3. Potential market cap
4. Tackling scalability
5. Best resources for viewing Wing Finance growth and performance
6. A credit-based cross-chain DeFi platform
7. oneWing, a WING-backed stablecoin
8. WING token utility
9. WING distribution
10. The Wing BuyBack Auction
11. 2021 roadmap
1. What was the *AHA* moment that made you realize that the market needed a credit-based cross-chain DeFi platform?
There wasn’t a singular “AHA” moment per say. But if you take a step back and view the industry as a whole, it’s easy to see the gaps where DeFi can be improved. For Wing, our focus was on three key areas that in our opinion were problematic in DeFi. They are the lack of trust in the ecosystem, the inefficiency of asset liquidity due to over-collateralization and the lack of a credit based scoring system.
2. What is the long-term vision of the project?
Our mission is to bring an element of credit into the world of decentralized lending and borrowing in order to allow users to truly experience the complete freedom of DeFi. This includes eventually building out more off-chain assets through the launch of our Any Pool, which is the first step to bringing more traditional assets into the Wing platform.
3. Given the heavy competition in the space, how much of the market do you think you can capture?
The 1st version of Wing Finance built on Ontology gained great success with a stable TVL of over 200 million. After the Ethereum version launched, our TVL grew to over 300 million and keeps increasing. For the next step, we are also going to BSC version to include more users. These are all invaluable signs that Wing is heading in the right direction regardless of market competition.
4. Are you concerned at all about scaling issues? Are you implementing any related solutions?
The transaction fee is very high on Ethereum, which disincentives users with a limited amount of crypto assets to get involved in DeFi. However the transaction on Ontology is fast and cheap, only 0.05 ONG gas fee consumed for each transaction. This makes Ontology Wing more scalable than other versions as we bridge out to the Ethereum and BSC versions. Users can choose either to stay on Ontology, or swap their assets to pAssets/bAssets to participate in other versions.
Other than bringing in more users, we are also considering adding more functions to Wing Finance other than adding different types of assets like stocks, mortgage, NFTs etc. The Any Pool is a highly customizable loan agreement proposed by a potential borrower.
5. Is there a dashboard we can view to see growth and performance metrics?
6. Can you give you a brief overview of how Wing serves its role as a credit-based cross-chain DeFi platform?
Wing is a credit-based, cross-chain decentralized lending platform. By building a DeFi platform dedicated to the digital asset lending market, Wing supports cross-chain collaboration between different DeFi products. Combined with the Wing DAO, the platform's decentralized governance model and risk control mechanism aim to foster a mutually beneficial relationship between borrowers, creditors, and guarantors. In addition, Wing innovatively showcases a credit evaluation module as a strong example of credit-based DeFi.
7. Tell us about oneWing, the first WING-backed stablecoin.Why do you call it the “first stablecoin designed for a DeFi lending platform”?
Well, because it is exactly that — the first stablecoin designed for a DeFi lending platform. The initial stablecoins were designed for liquidity in mind, but don’t provide the full DeFi features that oneWING does, especially applied to our own internal platform. Users can mint oneWING on ICHI, and receive additional incentives and rewards for keeping it internally within our ecosystem.
8. What utility does the WING token hold, besides governance participation?
Like most tokens, there is a natural element of speculation that gets encompassed as well. But we are developing additional features for the WING token asides from governance, including staking and liquidity mechanisms.
9. How are WING tokens allocated to various products?
The details of WING’s distribution of Ontology Wing can be tracked here.
WING Incentives will be shared between all Wing platforms on Ontology, Ethereum and others when launched. The total sum of distribution ratio for the two versions will be equal to the current rate of 0.036/s. However, the allocation between the Ethereum and Ontology versions will be decided based on the median borrow amount from the previous day based on the block closest to the time of 00:00 UTC for the present day.
On the initial launch day of Ethereum Wing, 1/10 of the borrowed amount of Ontology Wing will be used as an initial estimated borrowing amount. The distribution cycle of the Ethereum version of Wing will be per block, and the duration of each block will be calculated per 13s.
10. Tell us about your credit-based pool, Inclusive Pool, which appears to be the most interesting of the 3 pools you currently support.
It is something that we launched in December of 2020 to much acclaim, being the first-credit based pool in all of DeFi as you stated. It is tied to your OScore, Ontology’s native credit scoring system which assesses your total on-chain activities and holdings. As we previously mentioned, a key variable we aim to solve is the “trust” factor within DeFi. Our hope is that further adoption of the Inclusive Pool, and with it — OScore, can bring a new layer of trust to the sector.
11. One of the more interesting features is the Wing Buyback Auction. What is this exactly?
As a gesture of support to the community, the Wing team has started to buy back WING tokens through an innovative form of Community Auction from this December 2020. Not only does this make WING a deflationary asset, but it also gives our community a chance to buy assets from the platform at a steep discount! So far, most of our auctions have been sold off within a day or two, proving that demand is quite high!
12. What can we expect in 2021, in terms of features and upgrades?
A full roadmap was laid out at the beginning of the year, which you can find here. To quickly recap, we have hit most of the goals we’ve laid out already in Q1, including the much anticipated Ethereum launch, with BSC coming up next. We are also well on our way to providing further liquidity options by accepting a broader range of assets with the launch of our Any Pool.
For more information on Wing Finance, check out their various channels here:
The Publish0x team will publish more interviews with up-and-coming DeFi projects in the weeks to come. Stay tuned for these!