Last year, Sienna Network’s “privacy decentralized startup” raised $11.2 million in funds. Built on the Secret Network, it allows holders to switch to privacy-owned tokens. For wider adoption of DeFi, privacy-based blockchain projects are crucial. Otherwise, normal financial transactions, which are private in traditional finance, will struggle to take off in DeFi.
SiennaLend - First-Ever Private Crypto Lending Platform
Sienna Network is among several other blockchain startups trying to prevent “front-running”. For instance, someone can preempt transactions on Ethereum simply by paying a higher gas fee.
Sienna Network has now launched the first-ever private crypto lending platform, SiennaLend. Thus, crypto users can now earn interest on their crypto assets and take crypto loans from the platform - all privately. While the platform will be competing with Uniswap and PancakeSwap, it claims to have more features than both.
Built on top of the Secret Network, SiennaLend offers greater security and safety than open and non-private blockchains like Solana, Ethereum, etc. Traditional banking legislation requires private transactions, and the crypto community has been asking for some personal privacy.
SiennaLend - What does it Offer?
In the past 12 months, crypto lending protocols have taken the DeFi space by storm, with the largest lending platforms locking in more than $20 billion of liquidity. Furthermore, this momentum is expected to continue despite the crypto market volatility. However, popular blockchains are experiencing high gas prices, making it impossible for small investors to make money.
As Sienna Network’s chief evangelist, Monty Munford, stated, paying $150 transaction fees for a $200 loan makes no sense. For SiennaLend, “gas fees are counted in cents rather than dollars” as its blockchain is much more scalable. In addition, Monty said that the company has “spent 15 months in stealth” to fine-tune the absolute game-changer for “crypto and its ascendance to the next level of mainstream finance.”
While most crypto is based on open ledgers, Sienna Network is protecting its user’s “Personal Identifiable Information (PII)”. Furthermore, users can “backtrack” and check their wallet possessions and trading history via their wallet address.
In addition, SiennaLend will also offer loans against collaterals, just like traditional lending. Users can deposit into a pool and choose to borrow or earn based on their deposit. It means that traders can now leverage their current holdings and easily defend against the current market volatility.
Despite market volatility, lending protocols like SiennaLend seem to be taking off because of the reassurance they provide to crypto holders. Moreover, crypto-based loans have become a highly utilized aspect of DeFi.