Euler (EUL)

Euler (EUL) is a non-custodial protocol built on Ethereum that aims to democratize the lending and borrowing of various crypto assets. Users can securely lend and borrow almost any digital asset through the Euler platform. One of Euler’s key features is its permissionless listing, which allows users to determine which assets are available for lending and borrowing. Any asset that has a WETH pair on Uniswap v3 can be added to the Euler protocol.

Euler utilizes a system of asset tiers to maximize capital efficiency without increasing systemic risk. It employs interest rate models backed by control theory to minimize governance and target a cost of borrowing that optimizes capital efficiency. Additionally, Euler implements MEV-resistant liquidations, using a Dutch auction coupled with a discount booster to limit value extraction from liquidations. The platform also offers protected collateral functionalities that allow users to withhold their collateral from borrowers, reducing trading risks, short-selling opportunities, and governance manipulation.

Security is a top priority for Euler. The protocol regularly undergoes verification and audits to ensure the correctness and robustness of its smart contracts. Certora’s powerful prover technology is utilized for ongoing formal verification, while audits have been performed by reputable teams such as Halborn, Solidified, ZK Labs, and Omniscia. Additionally, Euler has collaborated with Sherlock Protocol in a $10M partnership that includes an audit report and a substantial bug bounty program. The platform also maintains a blog and newsletter to inform users about recent developments and updates.