A holder pledges FEX and draws USDT against it. The emeralds stay in the vault, the tokens stay backed, and the position can be closed by repaying. Nobody has to liquidate a long-dated asset to raise cash.
This market is for members. Locking FEX is what opens it — and the more is locked, the better the terms, here and on the stone market.
A tier based on the wallet balance would be worth nothing: anyone could borrow tokens, hold them for one transaction, claim the top tier and give them back. Every discount would be free to everybody, paid for by the members who actually carry the risk of holding.
A member gives notice, waits out the cooldown, then withdraws. The tier drops the moment notice is given, not when the tokens finally move — otherwise the notice period would be a free window of top-tier benefits.
Locking creates no tokens, touches no emeralds and does not move the issuance ceiling. Locked tokens are still backed; they are simply not transferable while locked.
Four moves, and the arithmetic behind each one.
A lender deposits USDT into the pool and earns the supply rate. The money is not lent to a person; it is lent to the pool, against collateral held by the contract.
A token holder deposits FEX. It is valued from the published emerald index — the same figure the registry shows — divided by the tokens per carat.
Up to the maximum loan-to-value. Draw less and the position has more room to survive a fall in the index.
Repay at any time — that is never blocked. If the loan-to-value passes the liquidation threshold, part of the debt is closed by a liquidator who takes collateral plus a bonus.
Isolated: this market has its own liquidity, its own debt cap and its own parameters, so the risk of a hard-to-sell asset cannot spread to anything else.
The borrow rate follows how much of the pool is in use. Gentle while there is room, steep once it is nearly drained — that is what brings lenders in and gets borrowers to repay before the liquidity runs out.
Two of these stop the market outright. They exist because of where the collateral price comes from.
Paste a wallet address to see its collateral, debt and headroom.