Venus Simplifies Leverage with One-Click Features
Date: 2025-12-23 Author: Henry Casey Categories: BUSINESS
The Venus platform has released an update that significantly simplifies managing leveraged positions. Two new one-click features have been added to the service interface: automatic position looping and the ability to repay debt directly using collateral. These tools are designed for users who actively engage in borrowing and recurring transactions, minimizing the time spent on routine operations.
The position looping feature automates the process of repeatedly borrowing and re-depositing funds as collateral. Previously, such operations required manual execution of each step, which was not only labor-intensive but also increased the risk of errors. Now, users can initiate the entire process with a single command, and the system will automatically perform the necessary actions within the specified parameters. This makes leverage more accessible even for less experienced market participants.
The second innovation—debt repayment using collateral—allows for settling debts without first withdrawing funds. Users can use existing collateral to reduce or fully repay their debt, which is particularly useful in highly volatile environments. This approach reduces transaction costs and simplifies risk management by eliminating the need for additional transactions.
Venus Protocol is a decentralized lending protocol operating within the BNB Chain ecosystem. Developed by the Swipe team, it was initially designed to address the limitations faced by DeFi users on Ethereum, including high fees and slow transaction speeds. The protocol aims to combine elements of traditional financial services with the benefits of decentralized solutions.
Venus operates on an overcollateralized borrowing and lending model. Users can provide their crypto assets as collateral and use them to borrow against other tokens. The platform also supports the issuance of the VAI stablecoin, which is created using existing positions as collateral. A key feature of the system is the ability to simultaneously use collateral for both borrowing and issuing stablecoins without withdrawing assets from the protocol.
The XVS token, a BEP-20 standard, serves as a governance instrument within the Venus Protocol ecosystem. XVS holders gain the right to participate in votes that determine the platform's development direction. Through the governance mechanism, the community influences protocol parameters, the addition of new assets, and the implementation of future updates, shaping the project's long-term strategy.
