Fraxlend's lending of frxUSD pegged to WBTC with an annual interest rate of only 0.75% benefits from its efficient on-chain lending design. With a good safety record, you can hold BTC exposure while leveraging the liquidity of stablecoin frxUSD. This is somewhat interesting for traders who need to temporarily supplement funds but want to maintain their crypto asset allocation — they can earn strategy yields without having to sell off assets. The DeFi lending market is highly competitive, and such interest rates are indeed attractive among similar protocols.

WBTC0.16%
BTC0.25%
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