Seamless Protocol launches an Integrated Liquidity Market (ILM) on Lido for wrapped staked Ethereum (wstETH), stated Cointelegraph. The launch is expected to allow users to borrow strategies as an alternative to traditional restaking.
Sources revealed that the ILM will allow users to automatically use a borrowing strategy and compound positions on wstETH. Through this users can reinvest the returns from staked Ether (ETH $3,763) and eventually increase the rewards.
It is believed that this strategy can balance the risk taken and also enable lower collateral requirements for users, added Cointelegraph.
“Seamless is community-led, so new ILM strategies and markets can be proposed through the governance process. SEAM governance holders and delegates vote on strategies to be added to the protocol,” Daryl Hok, founder, Seamless, told Cointelegraph.
(With insights from Cointelegraph)
