Sui Finance: Lending & Borrowing – Space Recap
The second edition of The Sui Sync turned the spotlight on lending and borrowing – a core piece of DeFi that’s evolving rapidly on Sui. We brought together leading projects to discuss how lending markets are being built, what gaps they’re addressing, and how Sui’s speed and architecture enable unique innovations.
Key Themes & Highlights
Smarter Lending Models
Projects like West Finance are rethinking how interest rates work. Instead of relying only on supply and demand fluctuations, users can set their own interest rates starting as low as 0.5%, creating fairer, customizable borrowing options.
Pioneer Money Markets
Scallop is one of Sui’s OG money market protocols and among the first to receive a Sui Foundation grant. With features like SDKs, flash loans, and a strong security-first approach, they continue to build the backbone of Sui’s DeFi lending infrastructure.
Capital Efficiency at Scale
AlphaLend (by AlphaFi) has grown rapidly, surpassing $250M in supplied assets within months of launch. By removing flat borrow fees and reducing spread fees, they enable leveraged LPs, delta-neutral strategies, and better capital utilization – key for attracting liquidity to Sui.
Bitcoin & Stablecoin Integration
Lending on Sui is increasingly tied to BTCfi and stablecoins. With partnerships like OKX’s xBTC and a focus on safe Bitcoin deposits, protocols are positioning Sui as a hub for BTC and stablecoin yield opportunities.
Real World Assets (RWAs)
Builders discussed the potential of bringing tokenized gold and other RWAs into lending markets. This expands collateral options and bridges traditional assets with Sui DeFi – opening the door to wider adoption.
Community & Collaboration
Every project highlighted the collaborative nature of the Sui ecosystem. From tokenized gold partnerships to vault products, lending protocols are building with composability in mind – ensuring users benefit from a fluid, interconnected money market.
Takeaway
Sui’s lending landscape is maturing fast. With smarter models, efficient capital use, BTC integration, and real-world assets entering the mix, lending on Sui is becoming a powerful entry point for both crypto-native and traditional users.
At Tokeo, we’re making this simpler than ever. Our smart wallet brings these protocols side by side, letting users access lending, borrowing, and yield opportunities natively on Sui – alongside Bitcoin, Cardano, and more.
If you missed the live Space, you can listen back here:
🔗 https://x.com/i/spaces/1lDxLBWbdOoGm