Echelon Market: A Core Lending Layer of Move DeFi Completes Token Launch
With $180M+ TVL and recognition as one of the chain's leading lending protocols, Echelon is positioning for the next step in their roadmap.
Lending markets are the backbone of every DeFi ecosystem. On Aptos, that backbone is Echelon.
Since launching on mainnet, Echelon has grown to become the most integrated lending protocol on Aptos.
What Echelon Does
Echelon is a decentralized, non-custodial lending protocol purpose-built in Move. At its core, it enables users to supply assets to have the opportunity to earn yield, borrow against collateral, or deploy sophisticated leverage strategies using capital-efficient architecture inspired by Aave's E-Mode design.
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Echelon utilizes isolated lending markets, where users can borrow specific assets by depositing different collateral tokens within defined pairs. Each isolated market functions independently, reducing systemic risk across the protocol.
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This architecture allows for the onboarding of more volatile or experimental assets, including memecoins, without endangering core liquidity pools.
For correlated asset pairs like stablecoins, Echelon's E-Mode offers loan-to-value ratios up to 93%, enabling looped strategies that can achieve up to 14x leverage on stable positions.
As a result, Echelon has also become a primary venue for new stablecoin integrations.
Fixed Yield: The Latest Product
Echelon launched its Fixed Yield Alpha Release - a new product layer enabling fixed-rate markets and yield tokenization on Move. This allows users to trade yield, lock in fixed rates, and access structured yield strategies on Aptos. The team is actively running a bug bounty program for the new mechanics, with rewards ranging from $500 for low-severity issues to $10,000 for critical vulnerabilities.
Backing and Infrastructure
Echelon was incubated through Thala Foundry, a joint incubator initiative between Thala Labs and the Aptos Foundation.
In August 2024, the protocol raised a $3.5M seed round from investors including Amber Group, Laser Digital, Saison Capital, LayerZero, Gate Ventures, and Re7 Capital.
The protocol has since integrated with major infrastructure partners:
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Ethena Labs- sUSDe integration
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OKX – xBTC integration
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Worldlibertyfi - USD1 integration
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Chainlink – Primary oracle provider for price feeds
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StakeStone – sBTC integration bringing staked Bitcoin liquidity
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Echo Protocol – aBTC support
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Thala – xLPT (staked LP token) collateral support and liquidity integration
What Comes Next
Echelon's roadmap includes several major initiatives:
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Structured Product Layer – Fixed-yield strategies, composable integrations with yield-bearing stablecoins and staked BTC, and support for point-based and institutional DeFi assets.
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Curated Vaults – Higher-quality strategy vaults designed for advanced and institutional users, improving access and risk control.
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RWA Collateral – Support for real-world asset collateral.
Token Function Overview
Echelon's ELON token is designed to serve two primary functions: governance and protocol incentives.
Token holders will be able to participate in governance decisions related to protocol parameters, asset listings, and treasury management.
The token also serves as a mechanism for distributing protocol incentives to lenders and borrowers.
The Bottom Line
Echelon has established itself as core lending infrastructure for Aptos DeFi. The protocol operates across Aptos, Movement, and Initia, with integrations spanning major stablecoins and Bitcoin-related assets.
The protocol's roadmap includes the continued rollout of Fixed Yield products, curated vaults, and RWA collateral support.
Follow Echelon on X/Twitter and join their Discord for the latest updates.
Protocol Links:
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Website: echelon.market
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Documentation: docs.echelon.market
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App: app.echelon.market
Disclaimer: This communication is for informational purposes only and should not be construed as financial, investment, legal, or tax advice. This material does not constitute an offer, solicitation, or recommendation to buy, sell, or hold any digital asset or engage with any DeFi protocol. DeFi involves significant risk - do your own research.
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