Warp V2 Launch: Initial Features

Warp Finance
3 min readMar 7, 2022

Now that our Warp V2 code has been successfully audited, we are on track to launching the initial features of our Blacksmith Update. Several functionalities have been teased in the past so we will be providing updated insights on our launch and V2 rollout process in this and our following post. We plan to deploy V2 — the Blacksmith Update- in several phases. Additionally, after our recent vote, as mentioned in our Community Update, we will be starting by exploring the potential to offer WARP-ETH LP token bonding on Olympus Pro, a conversation that will be solidified with the launch of V2.

Warp V2 Initial Features

Warp V2 is launching, this month, with some of the new features and integrations that we have been introducing throughout a series of articles. At launch, users of the Warp protocol will instantly be able to unlock unique yield earning opportunities through our introduction of Isolated Lending Pairs. This feature introduces further possibilities as users can engage in new processes that are unlocked through customized pairing and risk isolation. An example of this is engaging in the shorting of irregular tokens without having to worry about platform risks that are usually involved in such activities.

The Isolated Lending Pairs of Warp V2, add greater flexibility and functionality to DeFi lending by allowing users to utilize our protocol with new collateral parameters such as the inclusion of lending on niche assets. This is possible as the pairs are a combination of a more niche or ‘long tail’ token with a more standard token, thus enabling users to take out loans with their own customized level of risk. Ultimately Warp V2 enables users to partake in novel collateralization of their assets.

Notably, Warp V2 is kickstarting by integrating Element Finance’s principal tokens to further enhance the abilities of our Isolated Lending Pairs. Element’s principal tokens, which are fixed-rate tokens, are ideal for our isolated lending pair feature as showcased in our use-case post. For the first time, users will be able to deposit the principal tokens of Element Finance as collateral to borrow. This is an incredible feature as holders of these tokens are now enabled to borrow on them rather than being forced to sell them at an unfavorable discount. This is showcased by the initial lending pairs that include Element’s principal tokens (PT) that will be available at launch:

  • Element Finance USDC Principal Token / USDC
  • USDC PT — USDC
  • Element Finance WBTC Principal Token / WBTC
  • WBTC PT — WBTC
  • Element Finance DAI Principal Token / DAI
  • DAI PT — DAI

These features and pairings craft a market that ultimately benefits both primary and secondary participants borrowing and lending on Warp thus unlocking new yield opportunities while creating leverage in the ecosystem. We will gradually begin to add additional tokens after initial launch.

Prepare for more features as we continue to rollout Warp V2.

Warp remains focused on facilitating an optimized crypto lending and borrowing hub for its community and the entire DeFi ecosystem. All our innovations are leading to a landscape of permissionless pool creation. ⁠We introduce Warp V2 with the initial features of Isolated Lending Pairs that are supplemented by Element Finance’s principal tokens, but more features will be introduced and rolled out throughout the Blacksmith Update. We, at Warp Finance, are dedicated to pioneering novel strategies in the lending space to deliver new yield optimization and DeFi possibilities to our community.

To follow the Warp Protocol as we carry out these new endeavours, check out our socials:

Twitter | Telegram | Discord | Website | Reddit | Github

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Warp Finance

DeFi’s first isolated lending protocol that optimizes yield-bearing receipt assets, and much more!