Suilend's New DeFi Points Program: 10M Daily, 44% TVL Growth

Key Takeaway

• Suilend launches a unique points program on the Sui blockchain, addressing common DeFi issues and offering high interest rates.
• The program will distribute 10 million points daily, with rewards proportional to user deposits, aiming for transparency via blockchain recording.
• With a 44% TVL growth in the past month, Suilend ranks third among Sui's borrow-and-lend protocols, signaling strong market traction.

Suilend Launches Points Program

In a significant move within the DeFi space, Suilend, a rapidly expanding borrow-and-lend protocol on the Sui blockchain, introduced its own points program. This initiative, spearheaded by the pseudonymous founder Rooter, aims to address the prevalent issues in DeFi's points systems. Rooter, known for his critical views on DeFi practices, particularly the opaque nature of points programs, has taken a transparent approach with Suilend's new system. Launched on Tuesday, the program is designed to reward users in a more straightforward and equitable manner, marking a departure from the criticized "black box" tactics of some protocols.

Sui DeFi's Growth and Strategy

The DeFi landscape on Sui has seen remarkable growth, nearly tripling this year, partly fueled by the Sui Foundation's "Sui Rewards" incentives. These programs, including Suilend's latest offering, have attracted users with enticing interest rates, reaching up to 19% on stablecoin deposits. Suilend's approach, leveraging blockchain technology to record points transactions transparently, sets a new standard in the ecosystem. This method not only ensures fairness but also opens up possibilities for further innovations on the platform.

Suilend's Market Position and Future Plans

With a total value locked (TVL) of $45 million, Suilend ranks as the third-largest borrow-and-lend protocol on the Sui blockchain, trailing behind Navi and Scallop. The protocol's TVL has surged by 44% in the past month, outperforming its competitors and showcasing its growing influence in the market. Rooter disclosed that the points program would distribute 10 million points daily among users, proportionate to their deposits, indicating a significant commitment to rewarding user participation. However, the duration of the program remains uncertain, with Rooter hinting at a "months" long timeline but stopping short of confirming an end date or the potential launch of a token.

Management Quotes

• Rooter, Founder of Suilend:

  "Points today are predatory, lazy and are really just gambling." "The design space is open for people to build stuff on top of this." "Suilend will hand out 10 million points daily in proportional amounts to all users. The more deposits one has, the greater share of the pie they'll get."