Understanding the Commodo Platform in Relation to the Comdex Network
Comdex network has been embarking on a massive full-scale growth campaign, which has resulted in many positive developments within its community.
Only last month, May 2022, the network saw the enforcement of full-scale development of two sub-independent platforms:
For its $CMST stablecoin, ruled by the $HARBOR governance token.
Its banking system has no governance token.
In earlier articles, we have been discussing at length, the Composite forum and its $CMST stablecoin. This time around, let us take a peek look at the Commodo forum.
The Mortgage Bank
As an open financial infrastructure that makes good use of the InterBlockchain technology protocol, Commodo is literally a bank built within the Cosmos ecosystem to act as a kind of mortgage bank wherein members of the Comdex network are able to lend and borrow its supported cryptocurrencies, most especially the $CMST (Composite), $ATOM (Cosmos), as well as the $CMDX (Comdex) cryptocurrencies.
Utilizing the best efficiency that the Lend Module of the Comdex network can offer, Commodo assists you in creating little-sized market pairs, primarily centered on the $CMST stable coin (with a price peg of one US dollar) and $ATOM cryptocurrency.
Featuring pooled markets of crypto items which can be traded, such as currencies, collaterals, and other commodities, these items can be bought in one of the markets and sold at once in another of the pooled markets. With affordable interest rates, which are governed by the forces of supply and demand of the digital commodities in the Commodo blockchain.
The Commodo platform makes use of the InterBlockchain protocol, which allows for interoperability between various networks, by which cryptocurrencies can be sent across these networks, such as Ethereum.
We have seen an introductory aspect to what the Commodo platform offers, but an institution without purpose is null and void of a future ahead.
What plans does the Commodo platform have in stock for its users in the incoming future?
A Mission with Goals
A goal-driven platform it is, Commodo has always (since inception) had objectives that have pushed it moving forward so far.
Amongst so many others, Commodo puts the following goals at the forefront of its development strategies:
A safe and secure credit loan banking system,
A user interface that is simple to use (but also has many functions),
Provision of liquidity solutions,
Passive income accrual for users,
Lending crypto assets,
Securing collaterals for borrowers,
Enabling Cosmos users (Comdex works in the Cosmos ecosystem) to lend their crypto assets,
Generation of passive income for lenders, etc.
But even with these goals, does the so-called Commodo Bank have any good to offer as a guarantee that all of its goals could be accomplished faster?
Merits of the Bank
In fact, most goals on Commodo’s bullet list have been accomplished. Furthermore, via the Commodo platform, you are able to carry out the following with ease.
Borrowing of crypto assets on a long or short term basis,
You would also be able to lend your own assets to others on a long or short term basis,
Affordable interest rates,
Utilization of opportunities that are readily available within the Commodo InterBlockchain (IBC) protocol,
Passive income accrual,
Pooling of crypto tokens found in the Comdex chain with ATOM and $CMST stable coins (to have passive rewards), etc.
Liquidation & Insurance
By deepening liquidity via establishing singular markets for each token in the Comdex network and Cosmos ecosystem, all users of the Commodo platform can pay debts off without waiting a long period of time.
Via the Commodo network’s liquidation process, a portion of the loan interests accumulated would be sent to pools reserved for insurance against negativities, and only the $CMDX token will be used to govern the operations in this reserve.
Comdex is a decentralized synthetics protocol and a product of the Persistence platform.
Comdex develops possible solutions for the decentralization of finance (DeFi) and the democratization of commodities by handing over to investors the knowledge of a widened scope of asset classes and rewarding features.