Meet Aqua Protocol, a decentralized finance platform built on TON.

Aqua Protocol introduces an alternative method for minting AquaUSD, an overcollateralized stablecoin, by allowing users to secure liquidity without liquidating their crypto holdings. The platform supports borrowing, yield strategies, and stable swaps, providing an alternative to centralized stablecoins like USDT. Its design offers a practical solution for accessing liquidity and managing risk, contributing to a more robust financial system on TON.

This interview offers a closer look into the vision behind Aqua Protocol, how AquaUSD works, and what’s next for the protocol.

Could you give a quick rundown of Aqua Protocol for anyone hearing about it for the first time?

Aqua Protocol is a decentralized finance (DeFi) platform built on TON that enables users to mint AquaUSD, an overcollateralized stablecoin, by locking up their assets (liquid staking tokens, low-risk LP tokens, and in the future, RWA). It provides a way to access liquidity without selling crypto holdings and withdrawing from yield strategies. It serves as a key liquidity layer for TON, supporting borrowing, yield strategies, and stable swaps DeFi. It also allows users to make spot leverage (looping).

Can you tell us about the team driving Aqua Protocol? What inspired you to build this, and what’s your collective experience in blockchain and DeFi that’s shaping this vision?

The Aqua Protocol team consists of experienced blockchain developers, DeFi experts, and startup builders with a strong track record in the industry. The team has worked on multiple blockchain and DeFi projects and CDP stablecoin solutions on other chains. Aqua was born out of the need for a decentralized stablecoin native to the TON ecosystem, providing users with an alternative to centralized stable assets like USDT.

With several blockchain options in the blockchain ecosystem, why did you choose to build on TON?

TON was chosen due to its high scalability, security, and deep integration with Telegram, which provides access to a massive user base. The ecosystem lacked a decentralized stablecoin, and AquaUSD fills this gap by offering a natively issued, fully overcollateralized stable asset that enhances the liquidity and functionality of DeFi on TON.

Aqua Protocol offers a new way to earn stablecoins without impermanent loss. Can you break down how the AquaUSD/USDT liquidity pool works and why it’s attractive to users?

The AquaUSD/USDT liquidity pool on decentralized exchanges (DEXs) like DeDust allows users to earn yield without impermanent loss since both assets are pegged to the dollar. Liquidity providers earn fees from swaps and can receive additional incentives through Aqua Protocol’s reward program (now rewards in USDT), making it a safe and attractive option for stablecoin yield farming.

Collateralized Debt Positions (CDP) are a proven model in DeFi, but they can seem complex to newcomers. How does Aqua make the borrowing and minting process more accessible?

Aqua simplifies the CDP model with an intuitive interface that allows users to deposit assets, instantly mint (borrow) AquaUSD, and easily monitor their collateral ratios. The process is transparent, with fixed fees instead of fluctuating interest rates, making borrowing predictable and user-friendly.

Community is everything in DeFi. How does your team build and engage with the Aqua Protocol community? Are there any initiatives or governance ideas in the works to give users a bigger voice?

Aqua Protocol engages its community through governance initiatives, educational content, and incentive programs. The upcoming AquaDAO will allow users to participate in protocol decisions via governance voting. Additionally, holders of Aqua Genesis NFTs will have a special role in shaping the protocol's direction.

Aqua Protocol’s been called a key liquidity layer for TON. Can you unpack how it’s helping DeFi grow and mature on TON Blockchain?

Aqua Protocol enhances the TON DeFi ecosystem by providing a decentralized stablecoin for lending, trading, and yield strategies. By integrating with DEXs, lending platforms, and payment systems, AquaUSD becomes a foundational asset, improving inner TON liquidity, reducing reliance on external stablecoins, and fostering on-chain financial stability.

Your third season of rewards for AquaUSD liquidity providers just kicked off. What’s this event all about, and how does it cater to users—especially those who play it safe with their investments?

The third season of rewards is designed to incentivize long-term liquidity providers. Participants earn AquaRP (Reward Points), which can be exchanged for future AQUA governance tokens. The reward program offers stable returns to conservative investors who prefer low-risk strategies while supporting the protocol’s liquidity growth. RP can also be given just for holding AquaUSD in the wallet!

TON’s got a growing lineup of DeFi projects. What makes Aqua Protocol unique, and how do you stand out?

Aqua Protocol is TON's first community-driven and decentralized stablecoin protocol, providing a censorship-resistant, transparent, and overcollateralized stable asset for full freedom. Aqua leverages TON's ecosystem efficiently, ensuring seamless integrations and real DeFi utility. Fixed borrowing fees, community-driven governance, and high-yield stable pools set it apart from other platforms.

In closing, what’s next for Aqua Protocol? Any features, upgrades, or partnerships on the horizon that you’re excited to share?

Aqua Protocol is focusing on expanding AquaUSD's utility by integrating with more DeFi protocols, such as EVAA, Storm Trade, and others. The team is also working on governance enhancements and stablecoin adoption in payments and e-commerce within the TON ecosystem. New partnerships with major DeFi projects are on the horizon to further strengthen AquaUSD’s role as a key financial instrument in TON.

We will add RWA as collateral and pure TON, along with new products built on top of Aqua SDK. Aqua will also offer automated strategies for users who want passive income without actively managing their positions.

Find AquaProtocol on:

Website | Twitter (X) | Telegram | Medium | LinkedIn

Disclaimer: This interview is for informational purposes only and does not constitute an endorsement, approval, or recommendation of the project. The views and opinions expressed in this interview are those of the interviewee and do not necessarily reflect the views of TON Foundation. This is not investment advice.