BENQI is a cryptocurrency that operates on the Avalanche smart contract network, providing a decentralized and non-custodial liquidity market. It functions as both a lending protocol and a liquid staking protocol, allowing users to lend, borrow, and earn interest using their digital assets. The platform enables users to unlock their "staked" AVAX, increasing capital efficiency and allowing it to be utilized on other decentralized financial protocols. The choice to build BENQI on Avalanche was motivated by the network's scalability, low fees, and compatibility with popular plugin wallets. Established in 2021 with a substantial $6 million backing, the project has received investments from various strategic investors such as Ascensive Assets, Dragonfly Capital, Mechanism Capital, Arrington XRP Capital, Spartan Group, TRGC, Woodstock Fund, Ava Labs, Morningstar Ventures, GBV Capital, Skynet Trading Ltd, Rarestone Capital, Genblock Capital, and Moon Inc.
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