Since MELD is a 100% compatible EVM blockchain we support all of the Ethereum Request for Comment (ERC) standards. On the MELD blockchain we replace ERC with MLD. For example ERC-20 is MLD-20 and ERC-721 is MLD-721. The name change is to that developers can see which blockchain that the contract was build for if their are chain specific features applied. This si also done for other changes such as Avalanche (ARC) and BNB Chain (BEP)
A "smart contract" is simply a program that runs on the MELD blockchain. It's a collection of code (its functions) and data (its state) that resides at a specific address on the Ethereum blockchain.
The MELD Protocol is a decentralised non-custodial liquidity protocol where users can participate as depositors or borrowers. Depositors provide liquidity to the market to earn a passive income, while borrowers are able to borrow in an over-collateralised (perpetually) or under-collateralised (one-block liquidity) fashion.
Gasless Transactions, also known as meta-transactions, are transactions that have the gas fee paid for by a third party instead of the transaction sender. With MELD, this means the MELD DAO covers the gas costs of a users' transactions, providing a more seamless user experience.
Native staking allows you to actively participate in the network as a validator by staking their MELD to a validator node of their choice. Validators play a vital role in securing the network, proposing, and validating blocks, and maintaining consensus.
MELD believes in supporting the whole of the crypto ecosystem. We have deploied the MELD token on many of the major blockchains and will continue to do so. We are work closely with bridges making it possible to move tokens between the MELD blockchain and others such as Ethereum, Cardano and Avalanche.
What is a Subnet?
A Subnet is a sovereign network which defines its own rules regarding its membership and token economics. It is composed of a dynamic subset of Avalanche validators working together to achieve consensus on the state of one or more blockchains. Each blockchain is validated by exactly one Subnet, while a Subnet can validate many blockchains.
Every validator in the MELD Blockchain must also validate the Avalanche Primary Network.
Node operators that validate the MELD Blockchain do not need to run multiple machines for validation of MELD and Avalanche. For example, a user setting up a Node will by default validate the Avalanche network and with a small change in parameters also validate he MELD Blockchain. These Node Operators can validate many subnets at once.
Coreth (from core Ethereum) is the Virtual Machine (VM) that defines the MELD Blockchain. Coreth is developed by Ava Labs.
Virtual Machines
In a nutshell, a Virtual Machine (VM) is the blueprint for a blockchain, it defines the application-level logic of a blockchain. In technical terms, it specifies the blockchain’s state, state transition function, transactions, and the API through which users can interact with the blockchain.
You can use the same VM to create many blockchains, each of which follows the same rule-set but is independent of all others.
Solidity
MELD natively supports the execution of Ethereum smart contracts written in solidity. Ethereum developers have the option of deploying their smart contracts on the MELD Blockchains implementation of the Ethereum Virtual Machine (Coreth).
MELD is compatible with Ethereum tooling like Remix, Core, MetaMask, Truffle, and more.
To learn more about smart contract support, click here.
Functional Architecture
The MELD Blockchain is an EVM compatible layer 1 network built to support modern dApps with low transaction fees and high performance.
The MELD Protocol is new generation DeFi lending & borrowing protocol focusing on capital efficiency and cross chain compatibility.
The MELDapp is a web and mobile decentralized application to interact with the MELD ecosystem including but not limited to the MELD blockchain, the MELD protocol, the Neobank and cross-chain bridging.
The MELD DAO governance involves a structured proposal and voting system, with initial control by a 13-member committee, and users staking 20k MELD tokens can participate, aiming for full decentralization in two years.
MELD's primary lending and borrowing functions are driven by MELD Vaults, community-controlled liquidity pools dedicated to individual assets, which support lending, borrowing, and yield generation. Furthermore, MELD plans on introducing Metapools tied to real-world assets and offers the capability to mint and redeem assets pegged to gold, USD, Swiss Francs, and Yen, all overseen by the MELD DAO.
The Insurance Pool protects the protocol against unexpected events by allowing users to deposit assets for low-risk yields and a share of fees, with a 14-day withdrawal lockup and a 10:1 minimum bonded ratio.
MELD uses oracles to provide smart contracts with external data, including asset prices, to support loan management, inform borrowers about their loan-to-value ratios, and assist in decisions about repayments and margin calls.
The Bank Oracle fiat oracle produces the proper regulatory documents for both SWIFT and SEPA payment standards resulting in overarching availability for traditional institutions across our markets.
The MELD Foundation manages the MELD protocol's evolution, holds its treasury, collaborates on various financial initiatives, and operates under structured governance to oversee improvement proposals and transparent voting.
Crypto Suppliers deposit assets into specific MELD Vaults, earning a yield determined by the asset's borrowing utilization and the optimization of idle assets. While supplying assets bolsters the ecosystem's liquidity and rewards users, there's no obligation to borrow, and supplied assets, which accrue yield continuously, can be withdrawn anytime without a lockup period.
Crypto Borrowers can secure a loan against a percentage of their deposited collateral, with the amount and interest determined by market conditions and asset volatility. Instead of a conventional repayment structure, interest accrues to the borrowed sum at intervals specific to the asset, like ADA compounding every five days and ETH every minute. Users have the flexibility to repay their loans whenever they choose, ensuring a user-friendly borrowing experience.
Fiat Borrowers can engage with MELD's lending and borrowing system and opt to borrow fiat currencies, like USD and EUR, against their crypto collateral. To borrow fiat directly, users must have a MELD finance deposit account and comply with KYC and AML requirements. Upon meeting these criteria, users receive a non-transferable miNFT in their MELD wallet, authorizing them for crypto-to-fiat borrowing.
MELD.FI is a regulated bridge between TradFi and DeFi in the MELD ecosystem, offering users secure fiat handling, flexibility, and enhanced access to both crypto and traditional financial markets.
