Granite Protocol Listed on Borrow on Bitcoin: A New Low-Cost Lending Option

Granite Protocol, a Bitcoin liquidity platform built on the Stacks blockchain, has been listed on Borrow on Bitcoin, a rate comparison platform operated by Sypher Capital. This move allows users to compare Granite's lending terms with those of centralized and decentralized competitors.

Granite's variable borrow rate sits at 1.66% APR, significantly lower than the 7.25% to 18.9% APR range offered by centralized finance lenders and the 3.57% to 8.02% APR average in EVM-based DeFi markets.

The protocol uses isolated liquidity pools, preventing a problem in one pool from cascading into others. There is also no rehypothecation risk, as Granite does not lend out collateral provided by depositors.

Granite's inclusion on Borrow on Bitcoin gives the protocol visibility among users shopping for the best terms on Bitcoin-backed loans. This could be a significant development for institutions that have been wary of centralized lenders due to past collapses.