Disruption begins with discomfort. Innovative technologies emerge and rub up against the preexisting routines. Its early adopters are acrobats, accustomed to contorting their customs to add in emerging technologies. Still, however, the majority of potential users are stuck in their ways and satisfied with the status quo.

First Comes Disruption, Then Comes Modernization

As these early adopters establish this new way of thinking, more individuals enter the adoption curve. A Modern phase emerges when there is no longer a high barrier to entry or sacrifice to the technology. In other words, the experience is much more seamless.

Within DeFi, it’s quite clear that we’re still in the disruption phase. Early breakthroughs of smart contracts, oracles, and composability have set the groundwork for seminal innovation. We’re witnessing a hodgepodge of innovation, and as early adopters, we’re forced to contort our flows to use the latest and greatest.

Seamless Protocol aims to lay forth a new standard — one that marries user experience with innovation. Built off the shoulders of giants, from Aave to Compound, Seamless hopes to usher in the new next generation of DeFi — modern DeFi.

Modern DeFi should be low-cost, fast, accessible, easy-to-use, multichain, efficient, and effective. Sure, this list of words may seem ambitious, but we believe that the lego blocks are already there — they just need to be assembled together. That’s where Seamless comes in.

Low-Cost, fast, accessible: Base, the layer 2 chain developed by Coinbase.

As a layer 2 rollup on Ethereum, Base has the convenient compatibility to plug-and-play with Ethereum users and tools. Transactions can be made faster, smoother, and cheaper than ever before.

Of course, there’s also a unique advantage of being empowered by Coinbase. Coinbase aims to bring its 100M+ users onchain, and Base is going to be their way of doing that. With the best-in-class suite of products and services, Coinbase can natively integrate their offchain and onchain initiatives, finally fusing the disparate worlds of web2 and web3.

Easy-to-use, multichain: LI.FI, the crosschain bridge & DEX aggregator.

LI.FI has been behind the scenes, solving the dreaded crosschain bridging and swapping experience — both for users and for projects. As an aggregator of over 30+ chains, dozens of bridges (Stargate, Across, and canonical bridges), and hundreds of routes (including other aggregators like 1inch and 0x), LI.FI has made it simpler for projects to focus on the other parts of the stack.

On Seamless, users don’t need to leave the app to get their crypto onto (or out of) Base. Seamless integrated LI.FI’s simple widget to enable users to bridge and swap from any chain directly onto Base, where they can immediately deposit or borrow liquidity. Multichain meets 1-stop-shop. Legacy DeFi required all users to be power users and to be in the know of which platforms perform which tasks. Modern DeFi allows for much more open participation through seamlessly integrating the base level tasks in one place.

Efficient, effective: Seamless, the first native, decentralized lending and borrowing protocol on Base.

Capital efficiency is a daunting term — what does it mean? How can capital be efficient? How can capital be inefficient?

Let’s look at capital efficiency in terms of how much can be done with the same amount of money. In the case of lending, an inefficient service would require someone to lock up a lot of money in order to borrow a little bit of money.

Honestly, that’s where Legacy DeFi still is today. Because everything is done through smart contracts, there hasn’t (yet) been a practical way to let people borrow tokens and guarantee that they would pay back their loan. As a result, to borrow in DeFi, you have to put down more money in collateral than the value that you are borrowing. That’s fine for whales and larger depositors, but not everyone has enough tokens to post this collateral and adhere to these strict requirements.

Now, let’s look at a lending service that, on the other hand, is very efficient. A lending service where you don’t need to put down much money, and you’re able to borrow more than your collateral. Sounds great, but the natural question is: what if the borrower just keeps the tokens they borrowed, since it’s more valuable than the collateral they put down? That’s correct — that’s a valid concern. But that’s where Seamless comes in, using new innovations to solve this problem.

In DeFi, people aren’t choosing to borrow tokens just because they can. They generally only borrow tokens because they need them for something. This is unlike the web2 world where people borrow money every day, even if they don’t need to — that’s called a credit card.

Because DeFi borrowers already know what they are borrowing for — to name a few common examples, it could be to get more exposure to a certain token or to stake more tokens to farm faster or to arbitrage delta-neutral strategies — Seamless actually integrates these “borrowing strategies” in the borrowing process. Not only does that make the experience more seamless for users (see: 1-stop-shop, no need to go to a different app to run the strategy), but it also creates advantages for enabling the missing link of high capital efficiency.

The key is that the borrowers select their integrated strategies, which borrow at undercollateralized ratios, but the position is maintained by a separate smart contract, so the borrowers cannot run away with the funds — they do however have access to withdraw their position at any time, which triggers an unwinding of the loan to pay back the lenders.

Seamless is proud to be decentralized and community-governed, so SEAM token holders can suggest new borrowing strategies to integrate into these “Integrated Liquidity Markets” (or ILMs). This is where modern DeFi doesn’t just enable high capital efficiency, but makes the ecosystem more accessible for all.

DeFi today may still require acrobatics and contortions, but modern DeFi is in the not-too-distant future. By raising the standards of a better user experience, Seamless believes that the next generation of DeFi can emerge. The building blocks exist, but it’s up to the builders to put the right pieces together. Modern DeFi is closer than it seams.

Seamless Protocol is the first decentralized, native lending and borrowing protocol on Base. Seamless lays the foundation for the next generation of DeFi, focusing on lower-collateral borrowing and a better user experience to inspire the masses.

Join the community and get plugged in via the following links:

🧑‍💻 Website: https://seamlessprotocol.com

📱 App: https://app.seamlessprotocol.com

🐦 Twitter: https://twitter.com/seamlessfi

👾 Discord: https://discord.com/invite/Uye9jCVgUp

💬 Telegram: https://t.me/seamless_protocol

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