Computing and Accumulating Interest On-Chain (common patterns and their properties)

Many DeFi projects need to compute interest on chain, and they often need to accumulate interest over several different user accounts at the same time.

In this presentation we look at the challenges of computing compound interest on-chain, and the two main approaches that DeFi projects use to overcome them. We discuss the pros and cons of each.

We also discuss the most common way we’re seeing projects accumulate compound interest over several accounts at once.

The video can be seen here:

Computing and Accumulating Interest On-Chain - Presentation video