The benefits of using ETHRISE
Leverage is one of the killer use-cases for DeFi. However, legacy DeFi leverage workflows are very risky. Users have to monitor health ratios, watch out for liquidation risk, and avoid penalties. ETHRISE was created to address those risks and to make the use of leverage safer and easier to maintain.
There are 4 major benefits to using the FLI:
- 1.No risk of liquidation
- 2.0% Management Fees
- 3.Ease of use
- 4.Composability with DeFi protocols
The biggest risk of taking leveraged position is getting liquidated, ETHRISE removes entirely the risk for you. This is done by automatically maintaining target leverage ratio.
Risedle won't charge management fees to the ETHRISE holders. This is possible because Risedle utilizng it's own money market, so Risedle can simply take 10% profit sharing from the lender instead of charging ETHRISE holders additional fees.
ETHRISE is very easy to use. Simply mint and redeem on Risedle app, or buy/sell directly on Uniswap for collateralized debt management abstracted into a ERC-20. User won't need to worry getting liquidated because ETHRISE is automatically rebalanced.
One additional differentiator for ETHRISE is composability which is unlocked through the use of a fully collateralized ERC-20 token. Because of this, ETHRISE can be used or integrated to any other protocol.