What Is BENQI (QI)?

BENQ (QI) is an open-source protocol that allows users to borrow or lend liquidity upon their virtual assets from the DeFi ecosystem. BENQI protocol is built on Avalanche (AVAX) blockchain technology. The protocol facilitates borrowing any digital asset of Avalanche blockchain using BENQI as collateral, i.e., security against a loan. 

In addition, the platform is envisioned to resolve the expensive rate of gas fees across DeFi. Gas fees refer to the fees that the users have to pay in order to execute any function on the blockchain protocol. The whitepaper states that BENQI aims to solve this issue by delivering a liquidity market protocol on a largely scalable and decentralized platform. BENQI seeks to democratize access to decentralized financial products by providing permissionless lending and borrowing, with a focus on approachability, ease of usage, and cheap fees.

The BENQI platform also utilizes a liquidity mining program. With this program, the platform is intended to encourage the platform's TVL (total value locked) and utilization rate by incentivizing the liquidity pools. Additionally, BENQI displays the live yield rates and undergoes audits to aim to bring more transparency and security for its users.

As mentioned in the whitepaper, BENQI regulates the QI tokens, which gives the users the right to vote on issues or even initiate proposals. QI token is a standard avalanche native token built on the network's 'C' chain. The primary aim behind developing the token is to attach the DeFi to institutional networks.

History of BENQI (QI)

The BENQI was founded by Dan Mgbor. Mgbor is a resourceful professional with more than 14 years of experience in project management, business analytics, operations management, and more. Dan has completed his Master’s Degree in Business Analytics and Management Sciences from the University of Southampton.

The maximum total supply of the BENQI tokens is 7.2 billion.