According to an amendment to the DeFi protocol for institutional borrowers and lenders, “lenders must wait for borrower repayments.”
Maple Finance, which announced on June 21 that there may be insufficient cash in its pools, has joined the growing list of crypto lending platforms facing liquidity issues.
According to an update to the DeFi guidelines for institutional borrowers and lenders, ‘lenders must wait for borrower repayments.’
According to Maple Finance, current market conditions have increased lender and borrower demand for liquidity. It went on to say that this demand could increase as the weeks progressed.
According to a Maple spokesperson, the platform will withstand all withdrawals in the coming weeks.
Lenders can only withdraw cash when it is available due to the protocol’s design. As a result, the platform is not required to limit or suspend withdrawal.
Maple also stated that its lenders would continue to earn MPL (its native token) rewards regardless of the borrowers’ wait time. Meanwhile, Maple has described how to reduce risks and gain access to borrowers. The list of its borrowers is available to the public. It currently has 66 active loans totaling $1.5 billion in value.
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