Linear Finance
Last updated
Last updated
In a world witnessing the explosive growth of decentralized financial solutions, Linear Finance stands out as a pioneering force in the decentralized finance (DeFi) ecosystem. This case study explores how Linear Finance leverages 4EVERLAND Hosting to decentralize their website and decentralized applications (dApps) on BNB Greenfield. This strategic integration significantly enhances the scalability, security, and performance of Linear Finance’s platform.
Linear Finance is a cross-chain compatible, decentralized synthetic asset protocol that bridges real-world assets with blockchain technology. It allows users to trade synthetic assets, known as “Liquids,” which mirror traditional financial assets like commodities, cryptocurrencies, and market indexes. As one of the first Ethereum-based DeFi projects with cross-chain compatibility, Linear Finance offers solutions free from the constraints of the traditional financial system.
Linear Finance’s ecosystem is powered by its utility token, LINA, which serves as the foundational collateral for its synthetic assets. LINA also functions as the governance token, enabling holders to vote on proposals related to collateral ratios, fee structures, and asset listings, among other critical parameters.
Linear Builder
The Linear Builder dApp allows users to manage collateral pools and create Liquids using LINA tokens. Over time, collateral options will expand to include other digital assets, stabilizing the LINA token economy by imposing a threshold on non-LINA collateral. Users must over-pledge collateral at an initial ratio of 350% to ensure long-term growth and stability, with potential for optimization through community-driven adjustments via the LinearDAO. LINA staking enables the creation of lUSD, Linear’s stablecoin, which can be used within the ecosystem.
Linear Bridge
The Linear Bridge functionality facilitates the composability of LINA tokens and synthetic assets across different blockchains, ensuring seamless cross-chain interactions.
Linear Exchange
The Linear Exchange dApp aims to expedite financial processes, enabling near-instantaneous settlement of synthetic assets like S&P 500 and Bitcoin, which traditionally would take days. By leveraging blockchain technology, Linear Exchange offers limitless liquidity and zero slippage, enhancing user experience significantly. Unlike traditional exchanges, Linear Exchange operates without order books, relying instead on smart contracts backed by a debt pool. This approach reduces costs and mitigates the risk of frontrunning through rapid price feed updates from oracles.
Linear Liquidator
Liquids, or synthetic assets, are the major innovation Linear brings to the crypto sector. With a combination of expertise from both crypto and traditional finance, the Linear Finance team provides its users with somewhere to easily gain investment exposure to a range of digital and traditional financial products.
Linear is one of the first DeFi projects built on Ethereum to be cross-chain compatible. Although the protocol takes advantage of Ethereum’s infrastructure, it uses other blockchains for the creation and swapping of Liquids, which means lower transaction costs and higher throughput than most exchanges hosted on Ethereum.
With near-instant settlement, Linear Exchange provides an ideal environment for traders using algorithmic software and making high-frequency trades. Meanwhile, the use of a price oracle alleviates the problem of frontrunning faced by many similar projects.
Linear DAO
To uphold its commitment to complete decentralization and democratization, Linear Finance has launched a DAO, allowing community members to propose and vote on changes. This decentralized governance framework ensures that Linear Finance evolves in a manner aligned with community interests.
Here’s a general overview of how the Linear DAO will work and how $LINA holders can submit a proposition and help us shape the future of Linear Finance:
Linear Finance has embraced 4EVERLAND Hosting for decentralized deployment of their website and dApps on BNB Greenfield. This adoption has significantly fortified the platform’s functionality, security, and reliability.
4EVERLAND Hosting provides a comprehensive suite of Dapp hosting solutions based on blockchain and distributed storage. Its services include:
Decentralized Deployment: Supports deployment on IPFS, Arweave, ICP, and BNB Greenfield, reducing single-point failure risks associated with centralized servers.
CDN Services: Offers global access through a distributed content delivery network (CDN) for fast and stable user experiences.
Automated Operations Tools: Facilitates streamlined deployment and management processes, enhancing operational efficiency.
Leveraging BNB Greenfield’s decentralized storage network, 4EVERLAND offers a unique advantage over traditional web hosting services:
Decentralized Deployment: Mitigates risks of centralized data storage and potential breaches through decentralized deployment.
Global Accelerated Access: Ensures fast access times for users worldwide via 4EVERLAND’s network.
Automated Deployment: Simplifies updates and maintenance through automated deployment tools.
Enhanced Security: Protects against DDoS and other cyber threats, thanks to its decentralized architecture.
Cost Efficiency: Reduces operating costs through efficient, decentralized infrastructure.
The strategic use of 4EVERLAND Hosting by Linear Finance exemplifies the substantial benefits decentralized hosting solutions can offer. By enhancing scalability, security, and operational efficiency, 4EVERLAND empowers Linear Finance to deliver innovative and reliable DeFi solutions, driving the future of decentralized financial ecosystems.
