# Lending Related Articles

HTX News Center provides the latest articles and in-depth analysis on "Lending", covering market trends, project updates, tech developments, and regulatory policies in the crypto industry.

PARITY Act Explained—House Lawmakers Propose New Crypto Tax Rules

A bipartisan group of U.S. House lawmakers has introduced the draft PARITY Act, aiming to modernize crypto taxation. A key provision creates a de minimis exemption for small gains or losses from everyday transactions using regulated, dollar-pegged stablecoins, treating them similarly to foreign currency. The bill also proposes extending stock market wash-sale rules to digital assets to prevent investors from claiming tax deductions on quick buy-backs. It includes measures on mark-to-market accounting, constructive sales, and clearer rules for staking, mining, and crypto lending to defer income recognition. The goal is to provide clarity and an even playing field without creating new loopholes.

ccn.com12/22 08:19

PARITY Act Explained—House Lawmakers Propose New Crypto Tax Rules

ccn.com12/22 08:19

Why Do DeFi Users Reject Fixed Rates?

Despite the intuitive appeal of fixed-rate loans for providing payment certainty, they have consistently failed to gain mainstream adoption in DeFi. This is not due to user rejection alone but stems from a fundamental mismatch between product design and actual user behavior. DeFi protocols are built as on-demand money markets, where lenders prioritize liquidity, composability, and the ability to exit or rotate capital instantly—features inherent to floating-rate pools like Aave. They accept slightly lower yields for this flexibility. In contrast, fixed-rate products require capital lock-up, sacrificing this optionality. The modest premium offered is often insufficient compensation for this loss. Furthermore, most crypto borrowing is not long-term credit but short-term leverage, basis trading, and collateral management. These borrowers are unwilling to pay a high premium for fixed rates as they don’t plan to hold debt long-term. This creates a one-sided market where lenders demand a lock-up premium, but borrowers refuse to pay it. Fixed-rate mechanisms also suffer from fragmented liquidity across different maturities, leading to poor secondary markets and significant price impacts for early exits. This forces lenders to become bond managers rather than passive liquidity providers. Ultimately, fixed-rate lending can exist as a niche product but is structurally disadvantaged to become the default in DeFi. The ecosystem is dominated by mercenary capital that values liquidity over yield certainty. For fixed rates to succeed, they must be treated as true credit instruments with priced-in exit options, rather than attempting to mimic liquid money markets.

marsbit12/21 06:44

Why Do DeFi Users Reject Fixed Rates?

Fixed-rate lending has consistently struggled to gain traction in DeFi, not because users inherently reject it, but due to a fundamental mismatch between product design and the actual behavior of capital in the ecosystem. DeFi protocols are built as on-demand money markets, where lenders—acting like cash managers—prioritize liquidity, composability, and the ability to exit or reallocate funds instantly. They accept lower yields in exchange for these features. In contrast, fixed-rate products require locking funds for a duration, sacrificing this flexibility for a modest premium that often fails to adequately compensate for the loss of optionality. Most crypto borrowing is not long-term credit but leveraged, tactical activity like basis trading and collateral recycling, where borrowers also prefer floating rates for their flexibility. This creates a one-sided market: lenders demand a premium to lock funds, but borrowers are unwilling to pay it. Fixed-rate markets fragment liquidity across maturities, leading to poor secondary markets and significant price impacts for early exits. While fixed-rate products can exist in niche, hold-to-maturity forms, they are structurally disadvantaged. The lender base, composed of mercenary capital seeking liquidity, will likely keep floating-rate money markets like Aave as the default, with fixed-rate serving only as an optional overlay for those explicitly seeking duration exposure.

Odaily星球日报12/21 06:41

UK crypto regulation is coming: What the FCA’s new consultation means

The UK is advancing comprehensive crypto regulation, with the Financial Conduct Authority (FCA) launching a consultation proposing rules for exchanges, staking, lending, and DeFi. This follows Treasury legislation bringing crypto under financial services oversight, targeting implementation by October 2027. The proposals, spanning around 700 pages, aim to replace fragmented oversight with a unified market structure. Industry leaders, like Kraken’s Perry Scott, welcome the global liquidity approach and bespoke staking rules, calling them "world leading." The consultation closes on February 12, with firms already preparing for compliance, job creation, and the UK's potential as a competitive crypto hub amid global regulatory developments.

cointelegraph12/19 18:32

UK crypto regulation is coming: What the FCA’s new consultation means

cointelegraph12/19 18:32

Ethereum Takes The Lead In DeFi Lending Revenue, Leaving Rivals Behind – See How

Despite facing selling pressure, Ethereum has solidified its dominance in DeFi lending revenue, capturing 80-90% of all activity and fees. Data from Leon Waidmann shows Ethereum remains the core settlement layer for DeFi, significantly outpacing rivals like Base and Arbitrum. Aave drives over 50% of lending funds and 60% of active loans on Ethereum, generating $885 million in fees in 2025 alone. While Layer 2s improve user experience, the mainnet continues to be reinforced as the trusted hub for liquidity and credit markets. Additionally, active Ethereum addresses are nearing all-time highs, with 2.4 million weekly users, signaling strong retail and institutional engagement.

bitcoinist12/19 18:02

Ethereum Takes The Lead In DeFi Lending Revenue, Leaving Rivals Behind – See How

bitcoinist12/19 18:02

Why Does $1 Earn More in Banks? Analyzing the Structural Dilemma of DeFi Lending

Silvio's analysis explores why $1 in a bank deposit generates 10x more profit than the same amount of USDC on Aave, arguing this reflects structural differences rather than inherent limitations in DeFi lending. Currently, most borrowing on Aave is driven by crypto-native strategies like staking ETH to borrow WETH for basis trades (45% of loans), yield farming with volatile collateral, or leveraging stablecoins for arbitrage. These uses are tightly coupled with crypto market cycles and yield opportunities, making DeFi lending highly correlated with "crypto GDP." In contrast, banks benefit from lower funding costs (tied to Fed rates), complex risk transformation (e.g., unsecured corporate loans), and oligopolistic advantages. For DeFi lending to mature, it must decouple from crypto volatility by incorporating new collateral types like tokenized real-world assets (RWA), off-chain credit, and crypto-native underwriting. This shift could align DeFi closer to traditional credit markets, potentially unlocking higher margins and more stable valuations by 2026.

marsbit12/17 23:03

Why Does $1 Earn More in Banks? Analyzing the Structural Dilemma of DeFi Lending

marsbit12/17 23:03

Aave Founder's 2026 Focus: Aave V4, Horizon, and Mobile

Aave founder Stani Kulechov outlines the protocol's 2026 vision, focusing on three core pillars: Aave V4, Horizon, and the Aave App. Aave V4 will introduce a Hub & Spoke model to unify liquidity across chains, enabling the protocol to scale to trillions in assets. It is a complete architectural overhaul designed to serve as a global financial base. Horizon, the institutional RWA lending marketplace, aims to bridge traditional finance by allowing tokenized assets like U.S. Treasuries as collateral. It targets expanding to $1B+ in deposits and integrating assets like stocks, ETFs, and real estate. The Aave App is a mobile-focused product designed to onboard millions of new users by simplifying DeFi interactions. Integrated with Push for seamless fiat on/off ramps, it aims to become a leading savings and financial tech solution. Aave has achieved significant scale, with $750B in net deposits and $8.85B in annual protocol fees, capturing 59% of the DeFi lending market. The long-term goal is to become the foundational global credit layer for the on-chain economy.

marsbit12/17 05:51

Aave Founder's 2026 Focus: Aave V4, Horizon, and Mobile

marsbit12/17 05:51

Standard Chartered, Coinbase deepen alliance to build institutional crypto infrastructure

Standard Chartered and Coinbase have expanded their partnership to build crypto infrastructure for institutional clients. The collaboration will explore offerings across trading, prime services, custody, staking, and lending. The partnership combines Standard Chartered’s banking and custody expertise with Coinbase’s institutional crypto platform to develop secure, compliant digital asset services. This builds on their existing relationship in Singapore, where Standard Chartered provides real-time SGD transfers for Coinbase. Separately, the US OCC conditionally approved national trust bank charters for five crypto-related firms, including BitGo, Fidelity, Paxos, Circle, and Ripple. Coinbase is also expected to announce new products soon.

cointelegraph12/14 07:00

Standard Chartered, Coinbase deepen alliance to build institutional crypto infrastructure

cointelegraph12/14 07:00

Is a16z's Mainstream Prediction for Decentralized Payments Overly Optimistic?

In response to a16z's report predicting decentralized payments as a major trend by 2026, this article presents five key judgments on the future of crypto payments. First, stablecoin gateways will undergo revolutionary changes, with major payment networks like Stripe's Tempo enabling deeper integration with traditional finance, reducing transaction costs and improving user experience. Second, the fusion of RWA assets and stablecoins will catalyze on-chain lending, as traditional assets become tokenized and traded using stablecoins like USDC and USDT, enhancing liquidity and compliance. Third, the "internet as a bank" model will emerge, combining AI agents, the x402 protocol, and stablecoins to enable seamless online payments, tokenization of digital products, and more efficient virtual economies. Fourth, investment barriers will lower significantly, allowing fractional ownership of assets like SpaceX IPO shares through tokenization, democratizing access to financial markets. Fifth, intense competition among stablecoins (e.g., USDH, USDC) will continue, resembling past "wars" in tech sectors, potentially benefiting users through subsidies and incentives. The article concludes that 2026 could be a turning point for crypto adoption, driven by these developments in payments and decentralized finance.

比推12/12 13:42

Is a16z's Mainstream Prediction for Decentralized Payments Overly Optimistic?

比推12/12 13:42

a16z Predicts Decentralized Payments to Become Mainstream, and My Judgment Is as Follows

a16z's report "17 Big Ideas for Crypto in 2026" predicts decentralized payments will become mainstream, highlighting that stablecoin transaction volume in 2024 reached $46 trillion—20 times that of and nearing three times Visa's. Odaily Planet Daily argues that 2026 will be a turning point for crypto and crypto payments, offering five key judgments: 1. Stablecoin gateways will undergo revolutionary changes, with payment giants launching networks (like Stripe-backed Tempo) for smoother, cheaper fiat-to-crypto conversions, enabling true peer-to-peer electronic payments. 2. RWA assets will integrate with stablecoins, driving on-chain lending. Tokenized real-world assets, using stablecoins like USDC or USDT for pricing, will enhance liquidity and enable new financial products like perpetual contracts. 3. The "internet as a bank" model will emerge, combining AI Agents, the x402 protocol, and stablecoins. This will merge online and on-chain payments, allow tokenization of digital products, and stimulate the virtual economy through efficient, direct creator payments. 4. The era of universal finance will begin, lowering investment barriers. Tokenized stocks and fractional ownership will let people invest small amounts in assets like SpaceX IPO shares, supported by AI advisors. 5. The stablecoin market will see intense competition ("hundred-army war"), with more players like OSL Group and Jupiter launching their own stablecoins, potentially bringing user benefits through subsidies and incentives.

Odaily星球日报12/12 04:55