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 clear, transparent on-chain rules.
Open AppWhy Bonzo Finance
Designed for Hedera from the ground up
Most DeFi protocols originated on Ethereum and expanded to other chains later. The Bonzo Finance platform was architected from the outset around Hedera's consensus service, giving users near-instant transaction finality and fees measured in fractions of a cent rather than dollars.
Rewards layered on top of yield
Every deposited dollar earns interest and Bonzo Points at the same time. Points accumulate passively — no staking transactions required, no lock-up periods enforced. Suppliers who join early accumulate at an enhanced 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. All new listings pass through a governance and risk-review process before going live.
How it works
Link 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 address required — 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 borrows, utilization rate, supply APY, and borrow APY updated in real time.
Deposit and begin earning
Enter your amount, approve the one-time token association transaction required on Hedera, then confirm the deposit. Your balance appears in the Supplied panel within seconds, and yield accrues with every new block.
Borrow against your collateral (optional)
Once assets are deposited, you may borrow any supported token up to the collateral factor ceiling. Monitor your health factor closely — 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 available liquidity remains after accounting for utilization, you can withdraw deposited assets in a single transaction. Elevated utilization may temporarily restrict withdrawals — repayments from borrowers quickly restore available liquidity.
Key features
Dynamic interest rate model
Rates recalculate 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 concludes. 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. Healthy competition among liquidators ensures undercollateralised positions are resolved promptly, lowering bad-debt exposure for all depositors.
Bonzo Points rewards
Points are credited in proportion to deposited value multiplied by time. No claiming transaction is necessary during the accrual phase. 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 continue to be fully serviced. This selective freeze avoids protocol-wide pauses.
Open analytics
An on-chain analytics dashboard exposes supply and borrow volumes, utilization curves, and historical APY for every asset — entirely free. Third-party dashboards are welcome to consume the Bonzo Finance v1 API.
Cross-network asset support 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, operating 24/7 without any intermediary 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 supplied balance appears immediately. From that point forward, interest accrues with every new block — no further action needed.
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. Review them before committing funds. No protocol is entirely risk-free; always size positions in line with your personal risk tolerance. The codebase also benefits from open-source scrutiny, a practice reinforced by extensive 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 presently frozen — existing positions remain fully serviced, but new deposits and borrows are paused. Visit the project page for the most current listing status.
Can I borrow if I only hold HBAR?
Yes. Start by depositing HBAR as collateral. The protocol assigns HBAR a collateral factor that determines your maximum borrowing capacity relative to the deposit. Once your collateral is registered, borrow any supported asset up to that ceiling. Keep a close watch 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 specifically for Hedera. Transaction fees on Hedera are typically fractions of a cent, compared with several dollars during busy Ethereum blocks. Add the Bonzo Points system — which automatically rewards every deposited dollar — and the Bonzo Finance platform delivers a combination that generic cross-chain forks simply cannot replicate natively on Hedera. Visit the support page for a detailed breakdown.
How does the Bonzo Points system work?
Points accumulate in proportion to deposited value multiplied by time held. No manual claiming transaction is required during the accrual phase. The larger your position and the longer assets remain in the protocol, the more points you collect. Redemption mechanics will be announced by the team separately — follow 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 may repay a portion of your outstanding debt in exchange for a discounted share of your collateral. This mechanism shields the protocol from accumulating bad debt. You can reduce liquidation risk by