TermMax numbers, and here's the actual breakdown
I decided to look at actual data behind the project rather than just relying on marketing material. These are my findings based on the data available on DefiLlama and their funding history.
Starting with the money aspect:
TermMax currently has around $31M TVL (total value locked). Not much when compared to industry giants like Aave, but this is the whole point it's still early days. TermMax ranks around #36 on the DefiLlama lending category chart out of 467 lending protocols tracked by the website. To put it into perspective, the total amount locked in the category is currently at around $41.7 billion.
In terms of actual utility, they have about $27M in active loans and generate around $20K in fees per month ($314K annually), so the protocol is being used and not just a way to keep your assets in a DeFi pool in order to get an airdrop later.
Funding history is quite impressive as well. The team (Term Structure) has raised $2.55M in an angel round back in late 2022 and another $4.25M seed round in November 2023, led by the industry giant Cumberland DRW one of the largest crypto trading companies. HashKey Capital, Longling Capital, MZ Web3 Fund, and Decima Fund participated in the financing. The total raised at this stage is somewhere around $8M+.
And finally, the actual mechanism, which was somewhat tricky to understand at first:
Borrowing on TermMax means that you are locking your funds in so-called Gearing Tokens (GT) and get in return a Fixed-Rate Token (FT), which represents exactly the amount you will pay at maturity. This FT is split into a principal and interest. Interest is then sold to lenders in exchange for X Token (XT), and the combination of XT plus the principal will give you the borrowed funds.
It might seem rather complex, but the idea here is to lock your obligations in tradable tokens with fixed maturity
#termmax @TermMax
#TermMax
I decided to look at actual data behind the project rather than just relying on marketing material. These are my findings based on the data available on DefiLlama and their funding history.
Starting with the money aspect:
TermMax currently has around $31M TVL (total value locked). Not much when compared to industry giants like Aave, but this is the whole point it's still early days. TermMax ranks around #36 on the DefiLlama lending category chart out of 467 lending protocols tracked by the website. To put it into perspective, the total amount locked in the category is currently at around $41.7 billion.
In terms of actual utility, they have about $27M in active loans and generate around $20K in fees per month ($314K annually), so the protocol is being used and not just a way to keep your assets in a DeFi pool in order to get an airdrop later.
Funding history is quite impressive as well. The team (Term Structure) has raised $2.55M in an angel round back in late 2022 and another $4.25M seed round in November 2023, led by the industry giant Cumberland DRW one of the largest crypto trading companies. HashKey Capital, Longling Capital, MZ Web3 Fund, and Decima Fund participated in the financing. The total raised at this stage is somewhere around $8M+.
And finally, the actual mechanism, which was somewhat tricky to understand at first:
Borrowing on TermMax means that you are locking your funds in so-called Gearing Tokens (GT) and get in return a Fixed-Rate Token (FT), which represents exactly the amount you will pay at maturity. This FT is split into a principal and interest. Interest is then sold to lenders in exchange for X Token (XT), and the combination of XT plus the principal will give you the borrowed funds.
It might seem rather complex, but the idea here is to lock your obligations in tradable tokens with fixed maturity
#termmax @TermMax
#TermMax