Should we create a pool on Rari Fuse to enable CTX borrowing and lending

Ideas
1

Now that we have an oracle for CTX/USD via Chainlink, we could create a lending and borrowing pool on Rari Fuse.

When creating a pool there are parameters and preferences that should be defined:
Close Factor

The percent, ranging from 0% to 100%, of a liquidatable account’s borrow that can be repaid in a single liquidate transaction. If a user has multiple borrowed assets, the closeFactor applies to any single borrowed asset, not the aggregated value of a user’s outstanding borrowing.

Compound’s close factor is 50%

Liquidation Incentive

This is the additional collateral given to liquidators as an incentive to perform liquidations of underwater accounts. For example, if the liquidation incentive is 1.1, liquidators receive an extra 10% of the borrower’s collateral for every unit they close.

Compound’s liquidation incentive is 8%

We should also define which assets to include for supplying and borrowing. For each asset you need to define Collateral Factor, Reserve Factor and Admin fee. The admin fee is nice, because we could use the fees for the DAO.
We should also consider that there is a platform fee (10% going to Rari)

You can read about the full list of parameters and preferences here.

Please share your thoughts on this, do you think there will be a demand for borrowing and lending CTX and TCAP?

7 Likes
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it will be let more people know CTX and TCAP.

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3

Maybe we can talk with the Rari team to see what could be the optimal parameters, I think it’s a great idea, and another source of income for the DAO

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I support it purely due to it helping raise awareness of CTX/TCAP.

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5

Think we should also explore how the Cryptex DAO can participate, a great thread here about how that can be possible:

2 Likes
6

That sounds very interesting, especially the part where the governance token is unborrowable and using the LP shares as collateral.
I agree with @Crisgarner , let’s talk to the Rari Team to explore what’s possible!

3 Likes