Xend Finance ($XEND) Project – Review and Comprehensive Analysis

By Achal Arya
Published May 24, 2021 Updated November 13, 2021
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Xend Finance ($XEND) Project – Review and Comprehensive Analysis

By Achal Arya
Published May 24, 2021 Updated November 13, 2021

What is XEND Finance?

With the growing popularity and applications of blockchain, innovators in this field are constantly striving to use this technology to solve long-standing real-life problems. One such project, Xend Finance intends to address the financial instability of individuals, groups, cooperatives and credit unions in countries with unstable currencies. 

Xend Finance is a global DeFi platform for credit unions, cooperatives, and their members. The project enables these entities to access a global trustless network that is much more stable and rewarding. 

Built on the Binance Smart Chain, Xend Finance is the first organization out of Africa to do so. Moreover, it is the first DeFi project from Africa and the world’s first DeFi-based credit union. Xend Finance solves financial issues related to unstable currencies. It allows individuals, groups, cooperatives and credit unions to be part of a decentralized network and save in stable currencies. Being a part of this network, these entities can save and invest in an optimized financial environment that fetches higher interest rates compared to traditional financial systems. 

Xend Finance – How it Works?

The Xend Finance network is powered by its native token $XEND. These tokens are used to reward users on the platform for saving, investing, lending, and performing other actions on the platform. Interestingly, the platform allows individual users as well as credit unions to process various savings operations against a small fee that is to be paid in $XEND tokens. 

On the back end, Xend Finance’s smart contract algorithm invests user savings i.e deposits in certain DeFi lending protocols which fetch an Annual Percentage Yield (APY). This APY is passed on to the users as interest. 

The platform allows several savings options to the users – 

  • Automatic savings as an individual or as a credit union
  • Fund staking on DeFi networks – The users’ fund in stable currencies is staked on various verified lending platforms to generate compounded interests on the users’ savings. 
  • Savings to earn a multi-level interest which essentially means that they earn interest on their saved stable currency along with  $XEND tokens as an incentive. 
  • Main Features of the project

  1. Xend Finance allows unrestricted access from across the world
  2. It offers access to loans with flexible repayment and terms
  3. The platform fetches up to 15% APY as compared to the traditional 1-2% API 
  4. XEND Finance offers secure savings options and the opportunity to earn multiple levels of benefits in the form of interest and $XEND tokens. 
  5. It incorporates decentralized insurance to protect assets and investments.
  6. Lastly, Xend Finances allows users to save in stable currencies without being worried about fluctuation and devaluation.

  • Target Market

Along with the crypto-savvy segment, Xend Finance targets users in underserved regions around the world. More specifically, the project is focused on serving the African continent and other underserved economies which offers tremendous opportunities in the crypto space, yet is largely ignored.

A large section of the African continent faces financial instability owing to the fluctuation and depreciation of the local currency, and Xend Finance aims to bring such people on board.

Moreover, the project is focused on serving the 350 million strong unbanked sectors in community cooperatives. 

  • Supported Blockchain 

Xend Finance is the world’s first DeFi-based credit union that is built on the Binance Smart Chain. Hence, the platform is interoperable with several other blockchains. Being a Binance smart chain-built platform, it offers high transaction speed, high security powered by a POS relay chain and on-chain governance ensuring transparency and decentralization.

Pros and Cons

One of the major advantages of Xend Finance is its first-mover benefit. The platform solves a real need in the financial sector, but in a manner that has not been explored to its fullest potential in the past. Hence, there is a strong chance of quick user acquisition that will fuel faster growth as well as stronger valuation of the platform and its native token. 

On the other hand, the financial payments and the lending sector has turned out to be lucrative, especially for blockchain-based projects. Hence, Xend Finance might face the disadvantage of competitive offerings in the near future, and hence it is important to stay constantly updated with its proposition.

Competitor Analysis 

Being the first of its kind DeFi platform, Xend Finance does not have any direct competitors at the moment. However, owing to the ‘Savings’ functionality, some other projects like PiggyVest, Nexo, Risevest, Cowrywise, etc. fall under the same spectrum as Xend Finance. Having said that, none of these projects offers an overall core value proposition as compared to Xend Finance, thus giving it a major competitive advantage. 

The Team Profile

Xend Finance is backed by a strong team of experienced entrepreneurs, engineers, and researchers with expertise in finance, cryptography, and blockchain. Ably led by Ugochukwu Aronu, the team has previous work experience working in some of Africa’s largest employers, including KPMG, Chevron, and Stanbic Bank that justifies the robustness of its core proposition. Please read this blog to know more about the team. 


The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
About Author
Achal Arya
532 Articles
I am an entrepreneur and a writer with a bachelors degree in Computer Science. I manage the blockchain technology and crypto coverages at Coingape. follow me on Twitter at @arya_achal or reach out to me at achal[at]coingape.com.

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