All You Need to Know About $XEND Finance

All You Need to Know About $XEND Finance


Xend Finance (XF) is a decentralized Credit Union protocol built to optimize, improve and add value to the core operations of credit unions globally. The Xend Finance protocol is decentralizing savings, lending, borrowing and investment operations of credit unions as well as providing multi-level interest returns to members of these unions.


Xend Finance is the first protocol to target this over $2.2 trillion credit union global market.

The Xend Finance network has the Xend Token ($XEND) as its native network token. The $XEND tokens are used to reward users for saving, investing and performing different operations on the network.


Xend Finance allows Credit Union operations and individual saving operations on the smart contract. The Xend Finance protocol native blockchain charges credit unions a small gas fee to create a union on the smart contract and a fee per complete save cycle. The fee is paid in $XEND tokens. A percentage of the fee is used to buy back the $XEND tokens to add liquidity to the protocol.

The Xend Finance smart contract periodically invests user savings (deposits) on DeFi lending protocols such as Compound, AAVE & Yearn Finance Protocol. The Annual Percentage Yield (APY) generated from these DeFi lending protocols are paid to the users of the Xend Finance protocol as interest. The Xend Finance protocol aggregates
these protocols to get the best APY at all times to ensure users get the best APY.

Xend Token

Xend Token ($XEND) powers a decentralized savings and multi-level interest generation protocol built on Ethereum. The Xend Token utility includes: Rewards, Governance, Staking, Payment for Decentralized Insurance, etc.

Xend Finance smart contract makes it possible to perform Credit Union, Esusu and Individual savings operations to earn interest in stable currencies.


Xend Finance As A Decentralized Finance Application

Savings, lending and investing are handled by a smart contract that has an algorithm used to reward users with $XEND tokens.

$XEND tokens have a fixed supply and the reward for savings is reduced as more people save on the Savings platform. $XEND tokens are also bought back from revenue generated through fees and commissions charged by the Xend Finance protocol and this is used to add liquidity to the protocol.

This enables users who save, lend and invest in Xend Finance to earn higher rewards. The reward distribution, interest rate determination and revenue generation are all handled by a robust code in the smart contract.

The custody of users savings is in a trustless smart contract, which provides security.

Governance is executed by $XEND token holders.

Users’ savings are protected by a decentralized insurance scheme


Currently, Xend Finance supports the Ethereum blockchain and the Binance SmartChain.

Xend Finance gives individuals, groups, cooperatives and credit unions in countries with unstable currencies access to a global trustless and stable-currency savings, lending, investing and borrowing network. Centralized and Fiat savings platforms are always limited by fees and cross-border payment regulations that limit investing in other countries. With Xend Finance, anyone, whether individuals, cooperatives or credit unions, anywhere in the world can save, lend and invest in different DeFi protocols and start earning interests instantly.

Xend Token ($XEND) Reward System

The smart contract rewards the users with $XEND for saving by applying an algorithm embedded inside the smart contract.

The smart contract takes Lock Time and Time Level into consideration. The lock time is the period funds are locked in the smart contract. Lock time was added to the overall reward system to ensure that the users of the Xend Finance protocol use the features of the protocol for a considerable period of time. This ensures that the protocol will only have long term users and this is very important for the overall success of the protocol.

The Time Level determines the percentage of the reward a member will get. We have a total of 4 Time Levels. Each level unlocks 25% of overall reward $XEND tokens.

Example: Current configurations for reward smart contract sets the default lock time to be 1 month at time level 1. This means that if you have funds locked for a period of 1 month, you will earn 25% of the reward calculated with the parameters and formulae below.

Xend Finance Governance Framework

Xend Finance is Decentralized Autonomous Organization (DAO) governed by $XEND holders using three different smart contracts:

Xend Token Smart Contract, Governor Smart Contract and Time Lock Smart Contract


These smart contracts will allow the Xend Finance community to propose features, vote and execute approved proposals.


Proposals include changes like adjusting Group Reward Factor (Cgr), Early Withdrawal Charge (Ewc), Defaulters Charge(Dc) and $XEND Depreciation Factor (Df)


Any address with over 500,000 $XEND can propose governance actions which are executable codes. The community can submit their votes during a three-day voting period. After the majority vote is decided for the proposal, it is queued in the Timelock contract and can be implemented in 4 days.

Xend Finance Decentralized Insurance

Xend Finance takes security of the platform and users’ assets very seriously. It is no news that DeFi protocols are always constantly targeted by hackers and are also prone to smart contract bugs, key loss and a few other subtle issues. Protection of users’ assets is very important and the Xend Finance protocol will be integrating
decentralized insurance to ensure that assets are covered.

Decentralized insurance protects users from loss of assets when there are smart contract anomalies or hacks.

In addition, Xend Finance has performed a thorough and also has
regular vulnerability scans to check the health of the smart contracts and possible
loopholes that might arise.


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