General
Self-repaying stablecoin loans
Last updated
Self-repaying stablecoin loans
Last updated
Vaultedge is a decentralized borrowing protocol that enables users to borrow against their entire portfolio of assets.
Loans are paid out in veUSD, a USD-pegged stablecoin, and require a minimum Health Factor, which varies per asset but can be as low as 100.5%.
Vaultedge will support borrowing against:
Blue-chip assets (e.g., WETH, WBTC, USDC, USDT, LYNX)
Staked assets (e.g., wsETH)
Liquidity Provider (LP) tokens
Voting Escrow (VE) tokens
Real world assets (RWAs)
The veUSD stablecoin is decentralized, over-collateralized, and backed by the value of users' collateral positions.
The only way to mint veUSD is by depositing collateral into the Vaultedge protocol.
Vaultedge is decentralized and completely non-custodial.
Users deposit whitelisted crypto-assets (e.g., veLYNX) as collateral into a smart contract called Vault, allowing them to mint veUSD stablecoin.
In order to avoid liquidation, vaults must maintain a required Health factor (HF) determined by the Vaultedge data-driven risk methodology.
In addition to the collateral, the loans are secured by the Stability pool, which contains veUSD tokens staked by fellow borrowers who act as guarantors.
The Vaultedge protocol solves critical problems for users and protocols :
On-demand, low-cost liquidity by borrowing against a wide range of tokens at zero interest rate
Unlock liquidity on your illiquid assets by borrowing against locked or illiquid tokens
Deep liquidity on DEXs without the need to incentivize or pay the other side of the liquidity pools
Treasuries management with smart capital allocation
Earn yield on your veUSD by depositing in the stability pool and earn a share of the liquidations