Following the integration of Shiba Inu with the Chainlink Cross-Chain Interoperability Protocol (CCIP), DeFi lending platform Folks Finance has added support for SHIB in its CCIP-enabled form.
Shiba Inu’s official X handle announced the development on Tuesday, noting that SHIB has been listed in Folks’ lending markets. The initiative makes Folks the first flagship project on Chainlink to adopt SHIB in its new cross-chain form.
With SHIB integrated into Folks’ lending markets, users can deposit SHIB to earn yields or utilize the token as collateral to borrow other assets. Reacting, Shiba Inu’s ecosystem team expressed excitement about the development, calling it incredible.
First Meme Coin with Cross-Chain Lending Markets
Folks also confirmed the development, referring to SHIB as the “first meme coin with cross-chain lending markets”. It also highlighted that users can now borrow and deposit SHIB across multiple blockchains, thanks to Chainlink’s CCIP.
The development comes several months after Shiba Inu partnered with Chainlink to transform SHIB into a cross-chain token. This initiative enables SHIB, an Ethereum-based token, to be accessible across 12 blockchains, including Optimism, Polygon, Avalanche, and Arbitrum, among others.
Folks Finance also supports most of these blockchains. Consequently, Folks users can easily borrow and lend SHIB across these networks.
Key Features
In addition to enabling SHIB borrowing and lending across multiple chains, Folks Finance will use Chainlink’s CCIP to eliminate the token’s liquidity fragmentation.
Rather than splitting Shiba Inu’s liquidity across separate networks, CCIP will enable Folks to create one unified pool of SHIB liquidity, making it accessible to all blockchains.
Notably, Folks announced incentives for SHIB depositors as part of efforts to encourage adoption and deepen liquidity.
At the moment, depositors can earn an APY of 10.93%. So far, users have supplied about $25,000 worth of SHIB as liquidity, with roughly $2,000 posted as collateral for borrowing other assets.
SHIB Adoption Soars
This latest integration from Folks Finance comes at a time when SHIB is facing a significant price correction. Meanwhile, the development contributes to the surge in Shiba Inu adoption. The team, through its marketing lead Lucie, confirmed that Shiba Inu’s adoption is growing.
Earlier this week, top ETF issuer Valour launched a SEK-denominated Shiba Inu-focused exchange-traded product in four European markets, including Denmark, Sweden, Norway, and Finland.
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