Equalizer Whitepaper
The blockchain revolution began in 2008 with the vision for Bitcoin, coined by Satoshi Nakamoto in his seminal whitepaper as a Peer-to-Peer Electronic Cash System. Looking back, we can see that even with an all-time-high (ATH) of over $58k in early 2021 and a market capitalization of $1T at the moment of the ATH, Bitcoin by itself did not grow into the envisioned alternative financial system that Satoshi envisaged, but rather into a store of value.
Standing on the shoulders of giants, the nascent Decentralized Finance (DeFi) ecosystem represents the next natural step in Satoshi’s vision - a decentralized, independent financial system that can provide the complex products and services that we still find in the conventional world of finance - lending, deposits, derivatives and other financial products. In this light, the three most significant functions of the DeFi are:
Creating monetary banking services (such as the issuance of stable coins)
Offering decentralized lending and borrowing services
Enabling advanced financial functionalities such as tokenization platforms, Decentralized Exchanges (DEXes), derivatives and prediction markets.
DeFi is seen as a catalyst for innovation, empowering new business models and creating new tools and opportunities for both entrepreneurs and the people. It is an age of creation and the moment where a new generation of industry leaders emerge.
At Equalizer, we believe that individuals or businesses should have access to financial services without the need for an intermediary.
Our vision is to be a vital cog in the greater interconnected ecosystem of DeFi that reshapes the financial industry and the world. And we do so by specializing in the distribution of a critical service that enables a multitude of innovative business models - flash lending.
Flash lending is a revolutionary financial product unique to the decentralized finance world as it has no corresponding centralized finance product or service. It allows the borrower to take a loan, use it for profitable operations, and return it together with interest within the same blockchain transaction. Through its nature, flash lending adds more depth to the concept of democratized finance by allowing everybody to act as a significant player in the field for any given instance, using up to the total liquidity available on a platform.
Flash lending is risk-free for liquidity vaults and strengthens the concept of democratized finance as it allows the borrowers to use the entire available capital of the vaults. Hence, operations that were available only to a small group of entities with many funds become available to everyone.
Equalizer represents the first dedicated platform for flash lending, while currently on the market, we find only platforms that offer flash loans as a side product, along with decentralized borrowing and other financial products. This allows for unprecedented levels of performance and unique value propositions across the DeFi ecosystem:
Low lending fees
Dynamic fees
Unique incentive scheme for liquidity providers
Fast and scalable infrastructure
Unlimited ERC20 token range
Integration-friendly philosophy
Unique governance model
Multi-chain and cross-chain capabilities
By capitalizing on the advantages that our system offers, users are empowered to an unprecedented degree to seek opportunities and capitalize from operations such as:
Arbitrage
Liquidations and self-liquidations
Collateral swapping
Flash minting
Portfolio rebalances
Loans refinancing
Our business model is based on a single core service: providing a secure and reliable platform for flash loans. By offering a tailor-made service needed to create a strong foundation, we aspire to become a solid building block of the Decentralized Finance market.
Equalizer will become the foundational component of DeFi that equalizes and stabilizes the decentralized markets, making DeFi more resilient. Equalizer will become a tool at the base of DeFi that can be used and integrated with other products and services in the DeFi industry.
Our vision at Equalizer is that decentralized finance is ushering in a new era of innovation and business opportunities, from which everybody can profit. We will become a core ecosystem player through our dedicated flash lending platform, generating value for all stakeholders.
