Lumen Money: Decentralized Lending and Borrowing Protocol Goes Live on Neon EVM

Today, we are thrilled to announce the deployment of Lumen Money, a lending and borrowing protocol.

Lumen Money enables users to lend and borrow cryptocurrencies in a trustless manner. Lumen Money smart contracts automatically manage the lending and borrowing processes. The interest rates in Lumen Money are determined algorithmically based on supply and demand dynamics for each cryptocurrency supported by the platform.

By deploying on Neon EVM, Lumen Money gets access to the native liquidity of the Solana ecosystem along with its network benefits.

We welcome Lumen Money to the Neon EVM Ecosystem.

Overview of Lumen Money on Neon EVM

Lumen Money is a fully decentralized, over-collateralized, non-custodial money market protocol natively deployed on Neon EVM. Lenders can deposit their cryptocurrencies into Lumen's lending pools to earn interest from loans taken out by borrowers. Borrowers can take out loans against their collateral assets and utilize these assets across a broad range of applications within the DeFi ecosystems of Neon EVM and Solana. This interest is determined by a utilization-based interest rate curve model, popularized by Compound Finance.

With its deployment on Neon EVM, Lumen Money offers an alternative platform for lending and borrowing on-chain for users within the Solana ecosystem. Now Solana users can access a money market built on the Compound Finance code base, a prominent money-market protocol on Ethereum. Users can transfer their assets from Solana to the Neon EVM using NeonPass to use the platform. NeonPass allows a two-way transfer tool for bringing assets in and out of the Neon EVM platform. It functions by transferring SPL tokens from standard Solana “Associated Token Accounts” to Neon EVM Token Accounts wrapped in an ERC-20 interface within Neon EVM.

Alex Protsenko, CEO Lumen Money, says, "Lumen Money strives to become the central liquidity hub for Neon EVM, facilitating seamless liquidity access for users transitioning between EVM and Solana while prioritizing utmost security."

What does Lumen Money bring to the users?

Loyalty Points: Lumen Money offers Lumen Loyalty Points for lending and borrowing activities and user interactions with the protocol. These points determine a user’s on-chain contribution to the Lumen ecosystem. With 20% allocated to community airdrops, 45% allocated to community incentives, and a revenue-sharing model, Lumen Money aims to enhance user participation in the protocol.

Diverse Money Markets with Security Features: Lumen Money offers a wide selection of money markets, including popular assets like ETH, SOL, USDT and USDC. As per launch announcements by Lumen Money, it will add more assets over time including long-tail assets to utilize isolated lending-borrowing pools. Industry-standard security features include integration of flagship oracles like Pyth and Chainlink, timelock on core contracts, and multisig structure. However, it is recommended that users always check Lumen Money for the latest updates and do their research before using the platform.

Industry Standard Interest Rate Model: Lumen Money is based on the utilization-based interest rate curve mechanism popularized by Compound Finance. The interest rate curve is a fundamental mechanism that determines the interest rates for lending and borrowing based on the utilization ratio of a particular asset.

User-Friendly UI: An intuitive and user-friendly interface simplifies the onboarding process for new and experienced users.

Future Outlook

As the Neon EVM ecosystem grows, we stay focused on users and developer needs.
That said, the ecosystem is growing, and Neon EVM stays committed to helping developers build, deploy, and ship their projects with ease, resiliency, and efficiency. Come see the buzz within Neon EVM community on Discord and stay tuned for all the EVM alpha on our Twitter.

Are you building?

Read more on Neon EVM architecture on our docs. If you plan to build your DeFi dApp, contact Vishvendra, our DeFi lead, at [email protected] for an insightful conversation. Don’t miss a beat: join Neon EVM on Discord and Twitter for the latest updates.

About Neon EVM:

Neon EVM is an Ethereum Virtual Machine on Solana that allows developers to scale Ethereum dApps using Solana as the settlement layer. It operates as a program on Solana that accepts transaction requests via public PRC endpoints. It gives developers the power to directly deploy Ethereum dApps with minimal reconfiguration to the code, while benefiting from Solana's technical advantages such as parallel processing. For more information about Neon EVM and future updates, visit NeonEVM.org and connect with the community on Twitter or Discord.

About Lumen Money

Lumen Money is a decentralized lending and borrowing platform built on Neon EVM. The protocol operates in a peer-to-peer manner, eliminating the need for intermediaries such as banks or traditional financial institutions. Lumen Money aims to be the prime lending platform within the Neon EVM Ecosystem by offering the highest competitive incentives for money markets and having the deepest liquidity. For more information about Lumen Money, you can visit the website at app.lumen.money and check out our social platforms.