Aave Horizon Uses Perpetual Futures to Price Stock Collateral on Weekends
(15 hours ago) · 1 source · Summarized by CryptoBipto
Aave Horizon has implemented a system that uses perpetual futures data to price stock-based collateral during weekends when traditional markets are closed. Chainlink reportedly provides the pricing infrastructure for this approach. The mechanism aims to allow continuous collateral valuation for tokenized stocks used in decentralized lending.
WHY IT MATTERS
When you borrow money using something valuable as a guarantee — like a house for a mortgage — the lender needs to know what that guarantee is worth at all times.
Read the full analysis with a CryptoBipto membership
Members read why every story matters and the full analysis behind it.
SOURCES
- cryptoslate.com
RELATED
Learn the concepts behind this
Clear explanations of the subjects this article touches, with every term defined.
- What is DeFi, and how does decentralized finance work?Decentralized finance explained: liquidity pools, yield farming, impermanent loss, DAOs and governance tokens, each with its own definition page.
- What are stablecoins, NFTs and tokenized assets?What stablecoins are and how they hold a steady value, what an NFT represents, and what it means to tokenize a real-world asset.