## DeFi Lending: Venus Protocol on BNB Chain

DeFi is a rapidly growing sector in today’s day and age. Thus, we chose to write this article to inform new investors about the capabilities of DeFi (to read more about DeFi and its different usages feel free to read this post). More specifically, we will tackle DeFi lending, currently one of DeFi’s largest sectors. For this reason, our main focus in this article will be on the Venus Protocol, the biggest DeFi lending protocol on the BNB Chain, formerly (Binance Smart Chain).

On November 24, 2020, the Venus (venus.io) platform launched. Thus, it is one of the oldest DeFi Lending / Borrowing platforms on BNB Chain. The means of which yield and ownership are distributed to the community, is best described by Venus itself:

> *“The Venus Protocol is governed by its native cryptocurrency XVS which can now be mined (farmed) by liquidity suppliers, protocol borrowers, and stablecoin minters.”*

#### The Venus Token

As investors rush to sell protocol incentives, the value of the token is often overlooked. However, if there is no interest in governing this protocol, it allows interested individuals to have a larger say in the network for a cheaper price.

Despite the price of XVS token dropping, the protocol is still growing rapidly. As of this article, they have amassed a total of $1,215,148,782.22 in TVL, making them the largest decentralized lending / borrowing platform on BSC. A large contributing factor is the recent integration of the Venus Mini program on the Binance App. This essentially allows users to directly invest in Venus through Binance allowing for a much broader market to invest.

Another unique feature offered by XVS is the ability to mint and use VAI tokens. At this moment, VAI minting is disabled but will soon be made available again once Venus launches its VAI Stability fee mechanism which will bring back the VAI PEG to 1$.  Though Venus has faced many accusations and struggles in the past, the fact that it is still standing today indicates the project’s capacity to grow and evolve. An example of growth is their recent design improvements and the VRT (Venus Reward Token) update. As of today, there are numerous use-cases that DeFi Lending such as Venus (BNB Chain) can provide.

#### Here is what Venus offers you as a DeFi Lending protocol on the BSC:

• The facility to short/long tokens or stable coins

• The capacity to earn on single assets (compared to the LP model)

• The power to take or delegate decisions over the future of Venus

• The ability to grow your share over the network by locking them in the vault

#### Venus Lending: How to use it?

You have the choice to either use binance.com to enter the protocol (tutorial here.) or directly stake through their DeFi lending app on BNB Chain.

• Install MetaMask (or any wallet that is compatible with Venus)

• Send some BNB to your newly created wallet for the gas fees

• Go to app.venus.io

• Connect your wallet via the “Connect Wallet” button

• The instructions vary depending on what action you wish to take

To supply press the supply tab, and click on a currency

• If you wish to borrow press the borrow tab and select a currency

- Type in the amount of money you would like to interact with

• Press (Approve) + send

For a more detailed instruction on the staking procedure in this DeFi Lending platform, you can find them here.