Unbound Launches on BNB Smart Chain Mainnet

4 min readMay 31, 2022

Dear Unbounders,

We are immensely thrilled to announce that Unbound Finance is now live on the mainnet of BNB Smart Chain!

With our aim of multi-chain expansion, the deployment of Unbound on the BNB Smart Chain mainnet marks a significant milestone in the protocol’s quest to build a “composable, capital-efficient solution for the DeFi ecosystem”. The launch will essentially expose the thriving Unbound community to the edges of the BNB smart chain’s open, permissionless, high-speed infrastructure and cross-chain DeFi mechanisms.

At Unbound, we are building an optimized lending platform that will enable DeFi capital providers to earn profits over and above their existing yield by leveraging the liquidity locked in AMM pools. Through this release, network users across various BNB Smart Chain-based Dexs can now benefit from the protocol’s innovative yield enhancement technology. Users will be able to acquire interest-free crypto loans with an infinite maturity and no risk of collateral liquidation. By borrowing against their LP tokens, users can mint additional funds to use in the form of UND stablecoin, while their collateralized assets continue to generate swap fees on the underlying liquidity pool.

To begin with, users can mint UND by collateralizing LP tokens of PancakeSwap’s BUSD-USDT, BUSD-USDC, BUSD-DAI and USDC-USDT liquidity pools along with the BUSD-USDT pool from KyberSwap. The mainnet has been initially rolled out with a maximum lock of $1M on UND minting. We gradually plan to increase the liquidity, adding support for a greater number of pools across various AMMs on the BNB Smart Chain.

Deployment:

The addresses used for the deployment of Unbound’s contracts on the BNB Smart Chain are as follows:

UND Stablecoin Token Address:

0xE7C04392A3a426D532f83cA968Bcc0341E99583D

PancakeSwap:

BUSD-USDT Vault: 0xB1B25ED32Af75bC9fA0c1FcDE5FEeD4aa7d2E33d

BUSD-USDC Vault: 0xCA53537B8Df4Df29ecd0B59bBDb36199A3a6D5E5

BUSD-DAI Vault: 0xD9Cf052874255E5Af496F5F4498F641DDc046B57

USDC-USDT Vault: 0x329D3701D9ea08389A2d97B5e36854Ec5438d529

KyberSwap:

BUSD-USDT Vault: 0x3F3eFE76f48f4AE61AD7D122929Bd682947A2643

Supported Pairs:

Unbound will initially support LP tokens of BUSD-USDT, BUSD-USDC, BUSD-DAI, USDC-USDT pools from PancakeSwap and BUSD-USDT pool from KyberSwap on the BNB Smart Chain.

Note: Support for other DEXs and pools will be added gradually.

The launch of the protocol on the BNB Smart Chain mainnet will enable network users to access the following functionalities of the Unbound platform.

Collateralize LP tokens to mint UND stablecoin

Liquidity providers on PancakeSwap and KyberSwap can lock up LP tokens of the aforementioned liquidity pools as collateral on Unbound to borrow crypto loans of upto 80% collateral value. Unbound loans will be initially given out in the form of UND stablecoin, an ERC-20 token, soft pegged to the US dollar. Users will be charged with a small one-time minting fee of 0.4% on the minted UND that will be deducted at the time of borrowing the loan. Despite locking up their tokens on Unbound, users will continue to earn their passive income from liquidity provisioning to the DEXs.

Link : https://app.unbound.finance

Farming Collateralized LP tokens Back on PancakeSwap

Liquidity providers on PancakeSwap will be able to earn additional rewards by staking their already collateralized LP tokens back in the supported yield farming pools of the Dex through the Unbound platform. For each user, the protocol will deploy a new smart contract wallet from Factory (called a yield wallet), enabling users to claim their accumulated rewards directly from the contract.

Liquidity Provisioning to UND Pools

The Earn feature of Unbound will enable UND holders to further compound their yield by providing liquidity to the UND pools on multiple Dexs across the BNB Smart Chain. As we move ahead, we will soon announce our partnerships with various AMMs and the launch of supported UND pools.

Unlocking Collateralized Assets

Users will be able to withdraw their collateralized assets at any time without any restrictions by simply repaying the borrowed UND loan. The UND returned will be burned in the process, and the LP tokens will be transferred back to the user’s wallet.

For more assistance on how to use Unbound, check out the following guides:

Step by Step guide to Unbound Finance:

https://unboundfinance.medium.com/a-complete-guide-to-using-unbound-finance-9605e8dd75df

Video guide:

https://www.youtube.com/playlist?list=PLWObgP_20uF0pSyOKS9_s9OrsATWnEfVP

Notes:

The loan to value (LTV) for LP tokens of PancakeSwap and KyberSwap’s select pools is currently set to 80%.
The minting fee is initially set at 0.4%.

The LTV and minting fee are not fixed and may vary for different asset pairs and across chains.

3. Interest rate on UND borrowing is 0%.

4. For stablecoin-stablecoin asset pairs, the underlying collateral will never be liquidated.

About Unbound Finance

Unbound Finance is an Ethereum-based lending protocol that uses the liquidity of Automated Market Makers as collateral. Users are bound by highly secure, perpetual smart contracts and are free from the risk of their collateral being liquidated. Currently, Unbound supports AMMs across various multi-chain platforms like Uniswap, Curve Finance, Bancor, MBinance Smart Chain Testnetooniswap etc.

Key features highlighting Unbound’s foundation include:

Liquidation-free liquidity provision system
Creating a no debt position when assets are minted
Perpetual borrowing
Factory Smart Contracts
Decentralized, cross-chain stablecoin UND
Minting synthetic assets like uETH
SAFU reserves

Connect With Us

If you would like to be a part of our ambassador programs or help us in any way, reach out to us at partners@unbound.finance.

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