JUST (JST)

JustLend launches SBM V2: safer, more controllable, smarter

Recently, JustLend announced the launch of SBM V2. Many people may not understand what it is or its advantages. In short, it upgrades the lending market to a safer and smarter version. So what are the changes?

1/ Higher security: each Market is isolated independently, so even in extreme market conditions, they won’t affect each other causing liquidations, reducing systemic risk.

2/ Support for more new markets: after isolating risk for different Markets, more tokens can be listed without affecting other markets, offering higher selectivity and better development for JustLend.

3/ Interest rate model is smarter and more flexible: previously V1 adjusted rates at fixed nodes, which could cause jumpy rate fluctuations. After the upgrade, rates are automatically adjusted based on utilization, smoother and maintained within the optimal range.

The V1 lending market pool was like a stew pot, all deposits in one pool; in a black swan/extreme market, massive liquidations could trigger cascading liquidations. After upgrading to V2, it’s equivalent to moving all deposits into a Vault, which then allocates to completely independent Markets, isolating risk.

This upgrade mainly brings higher security and flexibility to JustLend’s markets and prepares for high-speed development in the future. Looks like JST is set to take off again.

@justinsuntron @sunyuchentron @DeFi_JUST #TRONEcoStar