Aqua Protocol: A New Era for DeFi on TON

Aqua Protocol is rapidly emerging as a game-changer in the decentralized finance (DeFi) space, offering users a unique and alternative method to mint AquaUSD, an overcollateralized stablecoin, on the TON blockchain. By enabling users to secure liquidity without liquidating their crypto holdings, Aqua Protocol provides an innovative solution for accessing capital, managing risk, and contributing to a more resilient financial system on TON.

In this exclusive interview, the team behind Aqua Protocol shares insights into the platform’s mission, how AquaUSD works, and what lies ahead for the protocol. Here’s a closer look at Aqua Protocol's vision and what sets it apart in the crowded world of decentralized finance.

What is Aqua Protocol?

Aqua Protocol is a decentralized finance platform built on the TON blockchain that allows users to mint AquaUSD, an overcollateralized stablecoin, by locking up various assets. These assets include liquid staking tokens, low-risk liquidity provider (LP) tokens, and in the future, real-world assets (RWA). Aqua Protocol enables users to access liquidity without selling their crypto holdings or pulling out of yield strategies. By supporting borrowing, yield strategies, and stable swaps, it serves as a critical liquidity layer for TON, making it easier for users to interact with DeFi ecosystems.

The Team Behind Aqua Protocol

Aqua Protocol’s development is led by a team of experienced blockchain developers, DeFi experts, and startup founders with a proven track record in the industry. The team has worked on multiple blockchain and DeFi projects and has extensive experience in creating collateralized debt position (CDP) stablecoin solutions on other chains. Aqua Protocol was created out of the need for a decentralized stablecoin native to the TON ecosystem. With a growing DeFi presence, Aqua aims to offer an alternative to centralized stablecoins like USDT.

Why Build on TON?

Aqua Protocol chose to build on TON due to its high scalability, security, and deep integration with Telegram, which provides access to a massive user base. TON’s blockchain ecosystem lacked a decentralized stablecoin, and AquaUSD is filling this gap. By offering a fully overcollateralized, native stablecoin, AquaUSD enhances liquidity and functionality for DeFi applications on TON.

How Does AquaUSD/USDT Liquidity Pool Work?

The AquaUSD/USDT liquidity pool on decentralized exchanges (DEXs) like DeDust allows liquidity providers to earn yields without impermanent loss. Since both AquaUSD and USDT are pegged to the US dollar, this creates a stable environment for liquidity provision. Providers earn fees from swaps and additional incentives through Aqua Protocol’s reward program, which is paid in USDT. This makes the liquidity pool an attractive and low-risk option for those seeking stablecoin yield farming.

Simplifying Collateralized Debt Positions (CDPs)

The CDP model can often be complex for newcomers, but Aqua Protocol simplifies the process with an intuitive interface. Users can easily deposit assets, mint AquaUSD (borrow funds), and monitor their collateral ratios in real-time. Aqua Protocol ensures transparency with fixed fees, replacing fluctuating interest rates, making borrowing more predictable and user-friendly.

Building and Engaging with the Aqua Community

In the world of DeFi, community is key. Aqua Protocol actively engages its community through governance initiatives, educational content, and incentive programs. The upcoming AquaDAO will allow users to participate in protocol decisions through governance voting. Furthermore, Aqua Genesis NFT holders will have a special role in shaping the future direction of the protocol.

Aqua Protocol’s Role in TON’s DeFi Ecosystem

Aqua Protocol serves as a key liquidity layer for DeFi on TON, offering a decentralized stablecoin for lending, trading, and yield strategies. By integrating with DEXs, lending platforms, and payment systems, AquaUSD enhances the liquidity within the TON ecosystem. It reduces the reliance on external stablecoins, fostering greater on-chain financial stability and contributing to the growth of DeFi on TON.

Third Season of Rewards for AquaUSD Liquidity Providers

Aqua Protocol recently kicked off the third season of rewards for liquidity providers of AquaUSD. This initiative aims to incentivize long-term participation by offering AquaRP (Reward Points), which can be redeemed for future AQUA governance tokens. The reward program provides stable returns for conservative investors who prefer low-risk strategies while supporting Aqua Protocol’s liquidity growth. Additionally, holding AquaUSD in the wallet can also yield rewards.

What Sets Aqua Protocol Apart?

Aqua Protocol is TON’s first community-driven and decentralized stablecoin protocol. It provides a censorship-resistant, transparent, and overcollateralized stable asset that offers true freedom to users. Aqua Protocol leverages the TON ecosystem to ensure seamless integrations and real DeFi utility. With fixed borrowing fees, community-driven governance, and high-yield stable pools, Aqua Protocol stands out from other platforms in the space.

What’s Next for Aqua Protocol?

Looking ahead, Aqua Protocol is focused on expanding the utility of AquaUSD by integrating with more DeFi protocols, including EVAA, Storm Trade, and others. The team is also working on enhancing governance features and driving stablecoin adoption in payments and e-commerce within the TON ecosystem. Aqua Protocol is exploring new partnerships with major DeFi projects, which will further solidify AquaUSD’s role as a key financial instrument on TON.

In addition, Aqua Protocol plans to add RWA as collateral and introduce pure TON integration, along with new products built on the Aqua SDK. The platform will also offer automated strategies for users who prefer passive income without actively managing their positions.

Stay up to date with Aqua Protocol’s progress by following the team across their official channels:

Website | Twitter | Telegram | Medium | LinkedIn

Aqua Protocol is paving the way for a more robust and decentralized financial system on TON, offering users more control over their assets while reducing reliance on centralized financial systems.