TrueFi users will be able to utilize their portfolios on Optimism in order to benefit from significantly "reduced transaction costs and network speeds."
Protocol for unsecured lending dubbed TrueFi has recently been listed on ETH-based Layer-2 rollup network Optimism. The launch is expected to benefit TrueFi’s lender community by providing faster access and a less expensive consumer experience. On top of that, the community will be able to gain access to a more expansive pool of retail shareholders.
Co-founder of TrustToken Rafael Cosman implied that from now on, users of the protocol will have the opportunity to “lend, borrow, and launch portfolios on Optimism to enjoy dramatically reduced transaction costs and network speeds.” Cosman continued and stated:
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“Since Optimism transactions are on average 77x cheaper than Ethereum, we expect greater adoption from non-institutional lenders, hopefully increasing global access to TrueFi’s financial opportunities.”
TrueFi is defined as an uncollateralized lending protocol that is regulated by the TRU token. The protocol provides its traders the ability to earn returns on loaned cryptocurrencies while at the same time maintaining complete transparency over how the loaned capital is allocated.
As of now, more than 40 protocols have been launched on Optimism. For instance, earlier this year, a non-custodial portfolio manager and AMM dubbed Balancer was fired up on Optimism to minimize gas costs and provide decentralized finance (DeFi) liquidity provision.
At the time of writing, the Optimism chain’s total value locked (TVL) is roughly $370M, with an increase of almost $100M since May 29.
In other news, back in March, KyberSwap, a decentralized exchange protocol, was also introduced on Layer-2 Network Arbitrum in order to reduce high fees on the Ethereum (ETH) network through L2 scaling.
