GARD Protocol Now Supports gALGO
The GARD Protocol is excited and humbled to announce its first partnership with Folks Finance to support gALGO. Users can now deposit their gALGO into self-custodied collateralized debt positions (CDPs) and borrow GARD against their gALGO. Users borrowing against gALGO will be able to do so at 98% of the value of ALGO as determined by our ALGO oracle. GARD can be used to leverage one’s exposure to ALGO/gALGO known as “looping” or to stake natively on the platform (currently offering 58%+ APR). GARD is unlocking the potential to participate in the greater DeFi ecosystem on Algorand.
“Our partnership with Folks Finance and support of their gALGO on the GARD Protocol lends itself to our joint efforts as leading DeFi protocols of increasing composability. We are all in this together and are excited by its potential for Algorand DeFi. By coming together we will be able to create more utility for GARD while simultaneously allowing users more options in how they leverage their Algorand Governance positions. This enhances our users’ experiences across both the GARD Protocol and Folks Finance.” – Rylie Rueda, CEO @ GARD Protocol
Since the GARD Protocol’s V2 launch on October 4th, 2022 users have a lot more to look forward to beyond governance enrollment. Despite hitting ATH TVL benchmarks during governance enrollment, users can now take advantage of staking GARD and receiving both a share of protocol revenues plus a distribution of 5K GARD per week thanks to an Aeneas grant from the Algorand Foundation. Users can now easily supply gALGO as collateral to mint more GARD and capitalize on lucrative arbitrage opportunities as well as compound Aeneas/Governance rewards from both platforms.
Learn more about the GARD Protocol’s incentives
About GARD Protocol
The GARD Protocol offers groundbreaking decentralized money and fixed-yield products for Algorand users and governors alike. Users can draw a stable line of credit from their ALGOs while earning interest on them through governance, borrow against whitelisted ALGO derivative ASAs, stake GARD for higher yields, and even trade their collateralized debt positions in the future. This system enables billions of locked ALGOs to regain their full utility while participating in governance.
What is GARD?
GARD is decentralized money that is backed by intrinsically valuable i.e. useful assets. Its initial purpose was to allow a sort of liquid governance solution for Algorand governors and as a store of value for those who received it. In other words those who sought to gain leverage with it would be able to go out and redeem GARD as they chose while those who accepted it knew the promise that GARD would always be backed by at least USD $1 of collateral in ALGOs. Now GARD is meant to be all that and more and may not always be pegged to $1 but rather another asset that is a better store of value/more stable in the future.
About Folks Finance
Folks Finance is an algorithmic capital markets protocol for lending and borrowing built and operated on top of the Algorand blockchain. Through the lending operations, Folks users can deposit liquidity and start earning a continuous economic return instantly. Through the borrowing operation, the users can request crypto loans by locking deposited funds as collateral.
What is gALGO?
gALGO (Governance ALGO) is a wrapped version of ALGO, minted by Folks Finance and that allows users to participate in Algorand Foundation Governance while maintaining a substantial degree of liquidity. In other words, it is the Folks Finance Algorand Governance token and it is minted, at a one-to-one rate with the committed original ALGO in the Folks Finance platform. Therefore, users who minted gALGO during any relevant Governance commitment period are eligible to participate in the Algorand Foundation Governance and any Folks Finance proposals related to it. Users can use their gALGO freely in the ecosystem: for example as collateral on Folks Finance, to interact with DEXs, to purchase NFTs, and so on. While gALGO is not the same as a regular ALGO and is not used in securing the Algorand network, it is valuable in that it is redeemable for ALGO and a very strong Algorand derivative.