What is Hifi Finance? Information about HIFI Token?

The RWA niche has a lot of growth potential in the future, among which Hifi Finance must be mentioned - a lending and borrowing platform. So, what is Hifi Finance? Let's find out right away!

What is Hifi Finance?

Hifi Finance (formerly known as Mainframe) is a lending and borrowing protocol built on the Ethereum network. This protocol provides lending services with fixed interest rates and terms, allowing users to know the repayment time and amount before deciding to borrow.

Hifi issues a type of synthetic asset called hToken (e.g., hUSDC). Borrowers create hTokens with a specific maturity by depositing collateral assets into the protocol, which can be any asset (e.g., ETH). Lenders buy back the borrowers’ hTokens at a discounted price and can exchange them for the underlying tokens upon maturity, profiting from the price difference.