Lend & borrow on
Bonzo Finance
The leading lending and borrowing protocol on the public Hedera network — deposit assets, earn genuine yield, and borrow against collateral under transparent on-chain rules.
Open AppWhy Bonzo Finance
Designed for Hedera from the ground up
Most DeFi protocols originated on Ethereum and expanded later. The Bonzo Finance platform was architected from day one around Hedera's consensus service, giving users near-instant transaction finality and fees counted in cents rather than dollars.
Rewards stacked on top of yield
Every deposited dollar earns interest and Bonzo Points at the same time. Points accumulate passively — no staking transactions, no lock-up periods required. Early depositors accumulate at an elevated rate.
Fully transparent risk parameters
Bonzo Finance's protocol publishes every collateral factor, liquidation threshold, and reserve factor on-chain. Nothing is concealed behind an admin key. You can independently verify all parameters at any time via Hashscan.
Wide asset coverage
Thirteen assets available at launch: HBAR, HBARX, USDC, WETH, BONZO, SAUCE, XSAUCE, KARATE, DOVU, GRELF, PACK, HST, KBL. New listings go through a governance and risk-review process before being activated.
How it works
Connect your Hedera wallet
Click "Connect" in the top navigation bar. The protocol supports HashPack and other HIP-820-compatible wallets. No account registration or email needed — only your wallet address.
Pick an asset to deposit
Browse the All Assets table on the main app page. Each row displays total supply, total borrow, utilization rate, supply APY, and borrow APY updated in real time.
Deposit and begin earning
Enter an amount, approve the association transaction (required once per Hedera token), then confirm the deposit. Your balance appears in the Supplied panel within seconds, and yield accrues with every block.
Borrow against collateral (optional)
Once assets are deposited, you may borrow any supported token up to the collateral factor limit. Monitor your health factor — keep it above 1.0 to avoid liquidation. The protocol uses a battle-tested model inspired by ERC-4626 vault accounting.
Withdraw whenever you like
There are no lock-up periods. As long as the utilization rate leaves liquidity available, deposited assets can be withdrawn in a single transaction. High utilization may temporarily limit withdrawals — repayments from borrowers restore available liquidity quickly.
Key features
Live interest rate model
Rates refresh every block based on utilization. Low utilization keeps borrowing costs affordable; high utilization raises rates to attract additional supply. The model is fully deterministic and auditable — similar in design to protocols battle-tested on Ethereum since 2020.
Flash loans
Developers can access any available liquidity within a single transaction at zero collateral — provided the full principal plus fee is returned before the block closes. Bonzo Finance's flash loan interface is compatible with Hardhat testing environments.
Liquidation bot API
Publicly documented endpoints allow anyone to operate a liquidation bot. Robust competition among liquidators ensures undercollateralised positions are resolved promptly and reduces bad-debt exposure for all depositors.
Bonzo Points rewards
Points are credited in proportion to deposited value multiplied by time. No claiming transaction is required during the accrual period. The protocol records balances on-chain so you can audit your own accumulation history at any time.
Frozen-market safeguards
Governance can freeze individual markets (e.g., STEAM, HST, KBL are currently frozen) to halt new deposits and borrows while existing positions remain fully serviced. This targeted mechanism avoids blanket protocol pauses.
Open analytics
An on-chain analytics dashboard surfaces supply and borrow volumes, utilization curves, and historical APY for every asset. Nothing sits behind a paywall. Third-party dashboards are free to consume the Bonzo Finance v1 API.
Cross-network assets via bridging
WETH and USDC arrive on Hedera through a native bridge integration. Bonzo Finance supports these bridged tokens natively. The team behind Bonzo Finance monitors Solana bridge routes as potential future additions.
Bonzo Finance by the numbers
FAQ
What is Bonzo Finance?
Bonzo Finance is a non-custodial lending and borrowing protocol deployed on the public Hedera network. Users deposit supported assets to earn yield and borrow against their collateral. The protocol never takes custody of funds — smart contracts enforce every rule automatically, and you retain full control of your private keys at all times. Think of it as a transparent money market, running around the clock without a helpdesk in the loop.
How do I start supplying assets on Bonzo Finance?
Connect a compatible Hedera wallet from the main application, then select any asset in the All Assets table. Click the "Connect" button next to your chosen token, approve the one-time token association on Hedera, and confirm the deposit. Your deposited balance appears immediately. From that point, interest accrues with every new block — no further action is required.
Is Bonzo Finance safe and audited?
Bonzo Finance's smart contracts were reviewed by independent security auditors prior to mainnet deployment. The team behind Bonzo Finance publishes audit reports within the official documentation. Read them before committing funds. No protocol is without risk; always size positions according to your personal risk tolerance. The codebase also benefits from open-source scrutiny, a practice validated by years of Hardhat-based testing on EVM chains.
What assets does Bonzo Finance support?
Thirteen markets are currently live: HBAR, HBARX, USDC, WETH, BONZO, SAUCE, XSAUCE, KARATE, DOVU, GRELF, PACK, HST, and KBL. Three markets (STEAM, HST, KBL) are currently frozen — existing positions continue to be serviced, but new deposits and borrows are paused. Visit the project page for the latest listing status.
Can I borrow if I only hold HBAR?
Yes. First deposit HBAR as collateral. The protocol assigns HBAR a collateral factor that determines your maximum borrowing value relative to your deposit. Once your collateral is recorded, borrow any supported asset up to that limit. Keep a close eye on your health factor — a decline in HBAR's price will reduce it. Once it reaches 1.0, liquidation risk begins.
Why should I use Bonzo Finance instead of alternatives?
Bonzo Finance is built exclusively for Hedera. Transaction fees on Hedera are typically fractions of a cent, compared with several dollars during congested Ethereum blocks. Add the Bonzo Points system — which rewards every deposited dollar automatically — and the Bonzo Finance platform offers a combination that generic cross-chain forks simply cannot replicate natively on Hedera. Visit the support page for a detailed comparison.
How does the Bonzo Points system work?
Points accumulate in proportion to deposited value multiplied by time elapsed. No manual claiming transaction is needed during the accrual phase. The longer your assets remain in the protocol and the larger your position, the more points you gather. Redemption mechanics will be announced by the team separately — check the official X account for updates.
What happens if my collateral value drops?
If your health factor falls below 1.0, third-party liquidation bots can repay a portion of your outstanding debt in exchange for a discounted portion of your collateral. This mechanism shields the protocol from accumulating bad debt. You can lower liquidation risk by keeping your health factor well above 1.0 — for example, by borrowing only 50–60% of your maximum permitted amount.