ForTube

What is ForTube?

ForTube is a leading decentralized finance (DeFi) lending platform designed to provide secure and efficient liquidity solutions globally. Initially launched on the Ethereum Mainnet in May 2019, ForTube has evolved through continuous product iterations to become one of the foremost platforms in the DeFi space. The platform's core objective is to ensure security while offering innovative financial solutions, evident through its rigorous security audits by CertiK, PeckShield, and SlowMist.

In 2020, DeFi emerged as a pivotal segment within the cryptocurrency ecosystem, with the Total Value Locked (TVL) in DeFi surpassing $60 billion and the user base exceeding 1 million. As part of this booming sector, ForTube has established itself as a prominent player by addressing several key challenges that have historically plagued DeFi projects. These include issues related to single fund pools, token economic models, platform governance, security control, and community construction.

Key Issues of DeFi Projects

Key issues identified by ForTube in DeFi projects:

• Single Fund Pool: Integrating assets with different risks into one lending pool complicates risk pricing and deters additional funding.
• Token Economic Model and Platform Governance: Insufficient value transfer to project tokens and low governance participation from token holders.
• Security Control: Smart contract and oracle security issues causing significant losses, as highlighted by $120 million in losses from 15 DeFi platforms in 2020.
• Community Construction: Weak community engagement and lack of effective incentive mechanisms to align the interests of platform users, token holders, and developers.

ForTube V3 introduces several innovations aimed at mitigating the aforementioned issues. This upgraded version includes the implementation of risk classification and asset pooling, optimization of the financial model, enhancement of the risk control system, and the introduction of a new operation growth system featuring a Membership System and an Academy.

GEL, CALM, and MAK: Principles for DeFi Financial Security

ForTube’s security philosophy is built on three core principles: Global Emergency Lockdown (GEL), Cooperative Automatic Lockdown Mechanism (CALM), and Multisig Admin Keys (MAK). These principles aim to provide layered defense against attacks and minimize asset loss.

• GEL (Global Emergency Lockdown): Smart contract interfaces involving asset changes are equipped with a GEL switch to freeze transactions in the event of an issue.
• CALM (Cooperative Automatic Lockdown Mechanism): An off-chain risk control mechanism that continuously monitors contract states and triggers the GEL automatically to protect assets.
• MAK (Multisig Admin Keys): Utilizes a multi-signature mechanism for high-level security actions, ensuring that any critical operation requires consensus among multiple keys.

Asset Pools Segregation and Rating

ForTube employs a strategy of Asset Pools Segregation to mitigate risks associated with a single lending pool. This involves creating separate markets for different asset classes based on their risk ratings.

• Main Market: Includes high-quality collateral assets like BTC, ETH, and stablecoins.
• Innovation Market: Covers new asset types with potential risks. Assets are rated on a scale from E (very high risk) to A (very low risk) based on smart contract security, market risk, and counterparty risk.

Liquidation System

ForTube’s liquidation system is a crucial mechanism to maintain the stability and health of its fund pool. It operates by monitoring the Health Index of borrowers, which reflects the security status of their debt. If a borrower's Health Index falls below a predetermined threshold due to fluctuations in the value of collateral or borrowed assets, the system initiates liquidation. This process involves selling the borrower’s collateral assets at a discount to cover the outstanding loan amount.

By offering these assets at a reduced price, ForTube incentivizes liquidators to quickly purchase and thereby settle the debt. This ensures that the fund pool remains solvent and minimizes the risk of bad debts. The system's design, which considers the borrower’s entire portfolio of deposited assets, helps to smooth out the impact of market volatility, maintaining a more stable and secure lending environment.

Governance and Community

ForTube’s new governance structure enhances platform stability by dividing it into stable and innovation zones, each managed by corresponding fDAOs (ForTube Decentralized Autonomous Organizations). The stable zone includes well-established assets like BTC and ETH, while the innovation zone encompasses newer, riskier assets. $FOR token holders can stake their tokens in these fDAOs based on their risk preferences, receiving $fDAO tokens in return. This structure, paired with incentives such as profit-sharing and governance participation rewards, encourages active involvement from the community, fostering robust engagement and ensuring a balanced, secure, and adaptive platform governance.

Similar Assets

Similar assets to ForTube: UniLend Finance, Aave, Compound, Cream, RAMP, Auto, Beefy, Forj, Dafi Protocol...

Project Development

ForTube celebrated the launch of Binance's first Soulbound Token (SBT), the BAB token, with a special campaign. BAB token holders could mint an exclusive ForTube x BNB Chain NFT for free and enter a raffle for a $FOR airdrop. Additionally, participants could earn 500 FOR tokens by performing operations like deposits, borrowing, withdrawals, or repayments on the ForTube BSC Version, limited to the first 500 eligible holders. This campaign aimed to engage the community and reward BAB token holders while highlighting the unique identity-focused nature of the BAB token.

ForTube Price Analysis

As of November 25 2024 ForTube has a marketcap of $1.1M. This is {{percentagefromath}} from its all time high of $0.167203. In terms of its tokenomics, there's a total supply of 1B with 56% currently outstanding. Keep in mind ForTube has a fully diluted value of $2M which many investors might interpret as overvalued.

Of course, don’t trust price predictions alone, always check the Coinrotator token screener to follow the trending market.