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Borrowing & Repaying

Borrowing Guide

The borrow function transfers an asset from the protocol to the user, and creates a borrow balance which begins accumulating interest based on the Borrow Rate for the asset. The amount borrowed must be less than the user's Account Liquidity (working capital) and the market's available liquidity.
In order to borrow asset from the protocol, users are required to supply (deposit) any supported asset used as collateral. After that, users can process borrowing action on the "Borrow Market" section within the dashboard. At last, enter the needed amount based on the account's available collateral and the market's available liquidity.

Repaying Guide

The repay function transfers an asset into the protocol, reducing the user's borrow balance. In order to reduce the borrow balance (pay the loan), users must repay the same asset that they have borrowed. For example, user A borrowed 1 ETH and then user A will be required to pay back 1 ETH + interest accrued.
In order to reduce the borrowing balance, users need to go to the "Borrow Market" section within the dashboard and switch to "Repay" for the borrowed asset. After that, select the amount to pay back and confirm the transaction.

Interest payable for borrowers

The interest rate is derived from the supply and demand ratio of the asset. Users can find their current borrowing rate at any time in the "Borrow Market" section of the dashboard.

Repayment deadline

There is neither deadline nor fixed time period for repayment. Users can still borrow, as long as the account liquidity is position or the total borrowed amount is less than the user's Account Liquidity and the market's available liquidity. However, the violent fluctuations in the spot price will be possible to cause a liquidation of the account liquidity. Therefore, all users are recommended to check their account liquidity regularly and manage their risk more wisely.
Last modified 5mo ago