XOXNO
  • 🔥Zero to DeFi
    • Introduction
    • DeFi Initiation
  • Smart Explorer
  • E-Mode Master
  • Pro Strategist
  • XOXNO Ecosystem
    • 📖Introduction
    • 🔁NFT Marketplace
    • 🚀NFT Launchpad
    • 🎯XOXNO Liquid Staking
    • 💱eGLD Liquid Staking
      • Protocol Overview
      • Advantages
      • User Actions
    • 🦫Borrow and Lending Protocol
      • Borrow
      • Supply
      • Repay
      • Withdraw
      • Liquidation
      • Flash Loans
      • E-Mode
      • Vault
      • Isolated Pools
      • Several positions for different markets
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  1. XOXNO Ecosystem
  2. Borrow and Lending Protocol

Flash Loans

Flash Loans on XOXNO let users borrow tokens without providing any collateral. The catch? The borrowed amount, plus a small fee, must be repaid within the same blockchain transaction. If repayment doesn’t happen, the transaction is reversed, as though it never occurred.

How Flash Loans Work

  • Executed and settled within a single block on the MultiversX blockchain.

  • All actions—borrowing, using funds, and repayment—happen simultaneously.

  • The receiver of the Flash Loan must be a smart contract located on the same shard as XOXNO’s contract.

Advanced Use Cases

  1. Arbitrage:

    • Exploiting price differences across platforms for profit.

  2. Debt Optimization:

    • Swapping or repaying loans efficiently in one transaction.

  3. Complex Strategies:

    • Leveraging temporary liquidity for advanced DeFi operations.

Why Flash Loans Are Unique

  • Risk-Free for the Protocol:

    • The blockchain ensures repayment within the transaction, or the loan fails.

  • Technical Requirements:

    • Flash Loans are typically used by developers or experienced users due to the complexity of implementation.

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Last updated 3 months ago

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