Fixed Rate Lending Incentivized Testnet Phase 2
We are thrilled to announce the launch of Phase 2 of the Danogo Fixed Rate Testnet, bringing a host of impactful updates designed to enhance both the user experience and platform performance. This phase introduces comprehensive liquidation testing, strengthened platform stability, an upgraded user interface (UI), and broader asset support.
We invite all users to participate in this critical testing phase, explore key functionalities, and share valuable feedback to help us further refine the Danogo protocol. By joining the testnet, you will play a vital role in identifying potential improvements while earning rewards for your contributions.
Throughout the 12-hour testnet phase on April 15th, 02:00 PM – April 16th, 02:00 AM (UTC) participants can track their ranking in real time directly from their profile page. The top 30 participants with the highest combined number of collateral top-ups and liquidations will be rewarded, ensuring that active participation is incentivized. Prizes will be distributed based on these rankings, so the more you engage in completing the key tasks, the higher your chance of earning rewards.
We are excited to announce that the total prize pool for Phase 2 of the Danogo Fixed Rate Testnet is 150,000 DANO + 1,500 ADA.
The top 30 participants with the highest combined number of collateral top-ups and liquidations will each receive 50 ADA as a reward for their active participation.
Testers are encouraged to complete the following critical evaluations:
🔹 Mass Liquidation Test – Assess how the system handles liquidations under extreme market conditions.
Reward: 30 DANO per loan liquidation (Max 3000 DANO per wallet)
🔹 Loan Creation Test – Successfully create at least 3 loans.
Reward: 200 DANO
🔹 Collateral Top-up Test – Verify that adding collateral prevents liquidation.
Reward: 50 DANO per top-up (Max 500 DANO per wallet)
Already joined Phase 1? No need to register again — you're all set for Phase 2!
For new participants, follow these simple steps:
Join the Testnet
Register via This Form.
When entering your wallet, select the preview network option. We recommend using Eternl or Lace wallets for optimal performance.
Claim Test Tokens
Tokens you will receive: 10 ADA, 10 wanBTC, 10,000 fDJED, 10,000 wanUSDM, 10,000 wanUSDC, 10,000 wanUSDT
Ensure you use the same wallet registered during sign-up.
Use this Link to receive test tokens.
Complete Testing Tasks
Perform all three key testing tasks outlined below.
Provide Feedback
Report any bugs or suggest improvements through the Feedback Form.
Connect your wallet before performing any of the actions below
When a loan becomes overdue or its Health Factor is less than or equal to 1, it becomes eligible for liquidation. This process helps protect the lender’s funds by repaying the debt using the borrower’s collateral.
Step 1: Access the Loan Liquidation List
Navigate to the Fixed Rate Lending menu.
Select Loan Liquidation from the options
You will see a list of loans eligible for liquidation.
Step 2: Select a Loan to Liquidate
Review the list and choose a loan based on the collateral you are willing to use.
Click the Liquidate button
Step 3: Sign to Confirm
Once you’ve clicked Liquidate, a wallet prompt will appear.
Sign the transaction in your wallet to confirm and complete the liquidation.
Once your wallet is connected, you will be directed to the loan creation screen.
Select the Token you wish to borrow from the available options.
First, select the Collateral Token you want to use, which will serve as the asset backing your loan. If using ADA as collateral, the borrower will retain ADA staking rewards and voting rights.
Next, choose the Loan Duration from the available options
Based on your selected collateral and loan duration, choose the corresponding fixed rate. The available fixed rates will vary depending on both the collateral and loan duration selected.
Enter the amount of the selected token that you wish to borrow. Ensure that the amount is within the liquidity.
Adjust the Health Factor, which reflects the ratio between your collateral and the loan amount. A higher health factor means less risk of liquidation.
The system automatically calculates the required collateral based on the HF you enter, so you cannot manually increase the collateral.
Once you have set all the parameters, you will see a summary of your loan details.
Review the information carefully, ensuring the loan amount, collateral, rate, and duration are correct.
After reviewing your loan details, click Borrow.
Sign the transaction with your wallet to complete the loan creation process..
When your loan's Health Factor (HF) is low, you must top up additional collateral to keep your loan within a safe threshold and avoid liquidation. Follow these steps to modify your loan:
Navigate to the Menu Fixed Rate Lending
Select My Account from the options.
In your account, find the loan that you need to modify.
Choose the loan with the low Health Factor (HF) you wish to adjust.
You will be able to add more collateral to the loan, but you cannot reduce the existing collateral.
Select the token of collateral you want to add and enter the amount.
After adding collateral, review the updated Health Factor (HF) and the total collateral value.
Ensure that the HF is now within a safe range to avoid liquidation.
Once you have reviewed the changes, click Topup.
Sign the transaction through your wallet to complete the modification.
Stay updated and connect with the Danogo community:
Be Part of the Future of DeFi!
This is your opportunity to shape the Danogo ecosystem. Your participation will help refine our protocol, ensuring a secure, stable, and efficient DeFi experience for all users. Join the Phase 2 Testnet today and make an impact!
🚀 Start Testing Now! 🚀