Kanpeki Integrates Chainlink Price Feeds to Help Secure Fixed-Rate Borrowing and Lending Services
With our recent rebrand from Yield to Kanpeki and transition from MVP, we’re excited to announce that Kanpeki — the fixed-rate, fixed-term, incentivized borrowing & lending platform — will integrate Chainlink Price Feeds as our exclusive oracle on Fantom and other blockchains. By integrating the industry-leading decentralized oracle network, we will gain access to the highest quality and most decentralized source of financial market data for an increasing number of crypto assets.
Chainlink is will be used to accurately determine principal amounts, collateral ratios, and more, which help secure user positions on Kanpeki. Powered by provably robust infrastructure, built-in flash loan resistance, and extreme reliability during periods of high gas prices, Chainlink decentralized price oracles provide users with greater assurance that their positions consistently reflect current market conditions.
What Is Kanpeki?
Kanpeki is an incentivized, non-custodial, individualized, fixed-rate borrowing and lending platform. It is not a pooled money market. Instead, it is “individualized” in the sense that, unlike nearly every other DeFi lending platform, your choices remain unchanged regardless of what another party in the system chooses to do — depositing, withdrawing, or borrowing a million dollars worth of crypto. With our unique design, our MVP generated over $50K in interest on ~$1M worth of deposits in less than 90 days, far exceeding the rest of the market.
Our incentivized-by-default borrowing means borrowers can claim an amount of KAE tokens — the native token of Kanpeki — proportional to the value of every repaid debt and interest rate on it.
Lenders, called depositors in Kanpeki, get truly fixed interest rates. These aren’t the usual ever-changing, uncertain, “APY” market rates that are common on other platforms today (including those featuring “fixed rates”).
A quick example: should you deposit $10,000 worth of USDC and choose an interest rate of 2% interest, you’ll have the opportunity to claim exactly $10,200 (i.e. +2%) worth of USDC ~30 days later when a sufficient number of borrowers repay their debts. And on the other side, the borrower(s) that pay the interest get compensated with an allocation of KAE tokens, 33% of which they can claim immediately after they repay. You can read more about this in our upcoming docs.
Using Chainlink Price Feeds to Help Secure Kanpeki
As an individualized lending and borrowing platform, Kanpeki required a secure price oracle solution to help secure deposited collateral. Even before we launched the v1 of our platform, we reviewed various different oracle options, but settled on Chainlink as the optimal solution for Kanpeki.
Chainlink is the most secure, reliable, and time-tested decentralized oracle network in the blockchain ecosystem, providing access to external data used to help secure tens of billions of value for DeFi applications. With hundreds of Price Feeds already available on mainnet, Kanpeki markets can be created around a wide range of different crypto assets, providing a significant degree of flexibility. Some of the reasons we choose Chainlink include:
- High-Quality Data — Chainlink Price Feeds source data from numerous premium data aggregators, leading to price data that’s aggregated from hundreds of exchanges, weighted by volume, and cleaned from outliers and suspicious volumes. Chainlink’s data aggregation model generates more precise global market prices that are resistant to API downtime, flash crash outliers, and data manipulation attacks like flash loans.
- Secure Node Operators — Chainlink Price Feeds are secured by independent, security-reviewed, and Sybil-resistant oracle nodes run by leading blockchain DevOps teams, data providers, and traditional enterprises with a strong track record for reliability, even during high gas prices and extreme network congestion.
- Decentralized Network — Chainlink Price Feeds are decentralized at the data source, oracle node, and oracle network levels, generating strong protections against downtime and tampering by either the data provider or the oracle network.
- Economy of Scale — Chainlink Price Feeds benefit from an economy of scale effect, where increasing adoption allows multiple projects to collectively use and fund shared oracle networks to fetch commonly required datasets (e.g. ETH/USD). This allows DeFi projects to get premium data quality and robust oracle security for a fraction of the cost.
Chainlink will also play an important role in our goal to remove the bureaucracy that comes with supporting crypto assets for lending/borrowing as we seek to more closely mimic Uniswap’s permissionless listing process. With the release of the FeedRegistry and other planned features, we are excited to get started on this as soon as we’re done with our upcoming launch.
“By integrating decentralized Chainlink Price Feeds, we were able to rapidly expand support for a large collection of on-chain crypto assets, while providing users the highest level of assurance that positions can be opened and closed exactly as expected. Having access to pre-built and thoroughly tested Chainlink Price Feeds also allowed us to remove any need to provision our own oracle infrastructure and focus solely on building the best lending and borrowing platform,” stated the Kanpeki team.
Chainlink is the industry standard for building, accessing, and selling oracle services needed to power hybrid smart contracts on any blockchain. Chainlink oracle networks provide smart contracts with a way to reliably connect to any external API and leverage secure off-chain computations for enabling feature-rich applications. Chainlink currently secures tens of billions of dollars across DeFi, insurance, gaming, and other major industries, and offers global enterprises and leading data providers a universal gateway to all blockchains.
Kanpeki is an incentivized, non-custodial, individualized, fixed-rate borrowing and lending platform. Borrowers earn KAE for every debt they repay and lenders earn fixed interest on their deposits.