Is there a Bitcoin equivalent of AAVE for trustless borrowing of USDT?

[OKboomer]

As per title.
AAVE is tried and tested and is trustless, but doesn't lend money against BTC (with the exception of non-censorship resistant versions of it like WBTC or cbBTC). So best bet is to lend against ETH which is also censorship-resistant.

So is there anything truly censorship-resistant where one could borrow USDT/USDC against BTC as collateral?

Obviously not interested in custodians, CEXes or any other non-censorship resistant options.

Also not interested in "Bitcoin layer2s" as they are not censorship-resistant at all.

Basically looking for a safe way to borrow fiat against BTC without risking losing that BTC to some nefarious actors.

Thanks

Last edited: Oct 27, 2024

 

[stronco]

AAVE also takes TBTC which is issued in a decentralized manner.

You also have time-tested "thorchain" that can solve this problem for you in a non centralized way.

 

[Freetrade]

The only one I know for native BTC is Sovryn but it looks pretty dead these days.

 

[OKboomer]

stronco said:
AAVE also takes TBTC which is issued in a decentralized manner.

You also have time-tested "thorchain" that can solve this problem for you in a non centralized way.
Click to expand...

TBTC has a marketcap of 950k and 25k daily trading volume. Can hardly be used/trusted for serious amounts therefore.

Thorchain crypto economic model is unclear, nor is their interest free lending (there's no free lunch)

 

[stronco]

OKboomer said:
TBTC has a marketcap of 950k and 25k daily trading volume. Can hardly be used/trusted for serious amounts therefore.

Thorchain crypto economic model is unclear, nor is their interest free lending (there's no free lunch)
Click to expand...

TBTC you can mint and redeem yourself one for one, no need for trading volume.

Thorchain loans even chatgpt can explain.

 

[Freetrade]

OKboomer said:
TBTC has a marketcap of 950k and 25k daily trading volume. Can hardly be used/trusted for serious amounts therefore.

Thorchain crypto economic model is unclear, nor is their interest free lending (there's no free lunch)
Click to expand...

TBTC : Market cap 300mm
Volume 15mm

 

[Freetrade]

You can use it on AAVE.

This whale likes it : https://debank.com/profile/0x3c9ea5c4fec2a77e23dd82539f4414266fe8f757