Compass Investments

– Shortly after announcing its own decentralized exchange (DEX), the DeFi protocol, Euler Finance introduced a lending market infrastructure for stablecoins, Frontier.

Frontier designed to accelerate the expansion of all stablecoins and provides a pool of incentives for projects competing in innovative designs and distributions for stablecoin-related markets.

Frontier utilizes a hybrid Euler-based loan and swap marketplace through the recently launched Euler Swap automated market maker (AMM). Frontier serves as a model for the stablecoin markets, demonstrating flexible interest rates and high leverage-to-value ratios, and reducing liquidity costs on the DEX for stablecoin protocols by integrating Euler Swap.

For retail users, lenders can get risk-adjusted returns isolated to a single asset, with access to adaptive rates and flexible DEX LP fee structures. Frontier will launch with Renzo, Midas and Level test markets.

Euler has experienced an impressive recovery since relaunching in September 2024. Within nine months, the total value locked in the protocol reached the $1 billion mark. In May, the EUL token reached $9.64, a record price since 2022.