Core Components

Core Components

Liquidity Pools

• Decentralized Liquidity Provisioning

  • Asset Pools: Users supply assets to decentralized smart contracts, each representing a distinct liquidity pool for a specific asset. This ensures no centralized control over liquidity.

  • Dynamic Interest Rates: Interest rates dynamically adjust using advanced algorithmic models enhanced by machine learning, based on real-time supply and demand metrics.

  • Risk Isolation: Each asset pool operates independently, minimizing systemic risks and preventing localized issues from affecting the entire protocol.

• Technical Implementation

  • Smart Contract Management: Handles deposits, withdrawals, interest calculations, and borrower interactions.

  • Automated Market Making (AMM): Ensures continuous liquidity for deposits and withdrawals using AMM principles.

Collateral System

• Diverse Collateral Types

  • Stablecoins: Options like USDC and USDT provide low-volatility collateral.

  • Liquid Staking Tokens (LSTs): Tokens like stETH and stATOM enable users to leverage staked assets while earning staking rewards.

  • Native Nibiru Assets: Includes the NIB token, aligning incentives with Nibiru's ecosystem.

• Dynamic Collateralization Ratios

  • Real-Time Adjustments: Models analyze market data and asset volatility in real time to optimize capital efficiency and manage risks effectively.

• Automated Risk Assessment

  • Borrower Profiling: Evaluates borrower profiles based on transaction history, collateral quality, and other data to adjust lending parameters.

  • Credit Scoring Mechanism: Assigns decentralized credit scores, influencing collateral requirements and interest rates.