Coslend
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FAQ

How do I interact with Coslend protocol?

In order to interact with Coslend protocol, you simply supply your preferred asset and amount. After supplying, you will earn passive income based on the market borrowing demand. Additionally, supplying assets allows you to borrow by using your supplied assets as a collateral. Any interest you earn by supplying funds helps offset the interest rate you accumulate by borrowing.

What is the cost of interacting with Coslend protocol?

Interacting with the protocol requires transactions and so transaction fees for Evmos Blockchain usage, which depend on the network status and transaction complexity.

Where are my supplied funds stored?

Your funds are allocated in a smart contract. The code of the smart contract is public, open- sourced, formally verified and audited by third party auditors.

Is there any risk?

No platform can be considered entirely risk free. The risks related to the Coslend platform are the smart contract risk (risk of a bug within the protocol code) and liquidation risk (risk on the collateral liquidation process).
Every possible step has been taken to minimise the risk as much as possible-- the protocol code is public and open source and it has been audited.
More details of Security are here.

What are cTokens?

Each asset supported by the Coslend Protocol is integrated through a cToken contract, which is an EIP-20 compliant representation of balances supplied to the protocol.
By minting cTokens, users (1) earn interest through the cToken's exchange rate, which increases in value relative to the underlying asset, and (2) gain the ability to use cTokens as collateral.

Can I transfer cTokens?

Yes, but exercise caution! By transferring cTokens, you’re transferring your balance of the underlying asset inside the Coslend protocol. If you send a cToken to your friend, your balance (viewable in the Coslend Interface) will decline, and your friend will see their balance increase.
A cToken transfer will fail if the account has entered that cToken market and the transfer would have put the account into a state of negative liquidity.