Governance Variables & Fees

These docs are a work in progress, and variables may be changed to adapt to the market. This page may at times be outdated, and we recommend checking the chain if you require certainty.

Fees

Variable Name	Description	Value
swapFeeAPR	Protocol fee; charged to the recipient of USDC on cash->credit and credit-> cash swaps. Prorated based on credit tenor (the fee is annualized).	0.005e18 (0.5 %)
fragmentationFee	A fixed fee denominated in USDC taken upon partial exit by a lender.	1e6 (1 USDC)

Protocol Safety Parameters

Variable Name	Description	Value
crOpening	Opening collateral ratio; the minimum collateral ratio required when opening a loan.	1.5e18 (150%)
crLiquidation	Threshold at which a position becomes eligible for liquidation.	1.3e18 (130%)
minimumCreditBorrowAToken	Dust limit; the minimum loan size permitted.	10e6 (10 USDC)
borrowATokenCap	Maximum USDC able to be borrowed.	1_000_000e6 (1m USDC)
minMaturity	Minimum tenor	1 hour
maxMaturity	Maximum tenor	5 * 365 days (5 years)
liquidationRewardPercent	Percent of future value rewarded to the liquidator	0.05e18 (5%)
collateralProtocolPercent	Percent of remaining collateral kept by the protocol after liquidating an underwater position with a standard liquidation	0.1e18 (10%)
overdueCollateralProtocolPercent	Percent of remaining collateral kept by the protocol after liquidating a healthy but overdue position	0.01e18 (1%)