Protocol Parameters

Collateral Factor, Reserve Factor

Loan To Value (LTV)
The maximum that can be borrowed on a particular asset.
Collateral asset
LTV
sORAI
60%
scORAI
60%
Reserve Factor
The percentage of the borrower's interest accrues to Orchai protocol and can be withdrawn through governance.
Asset
Reserve Factor
USDT
10%
Interest Rate Model
Orchai's interest rate model dynamically adjusts the interest rates of each asset market depending on the utilization rate. A high ratio would incur higher interest payments from borrowers, and consequently higher interest payments to suppliers, thereby encouraging suppliers to add more assets to the protocol and ensuring healthy levels of available liquidity. 
​Interest Rate Model is based on the following parameter:
Parameter
Value
​UoptimalU_{optimal}Uoptimal​
​
80%
​B0B_0B0​
​
2%
​Bslope1B_{slope1}Bslope1​
​
8%
​Bslope2B_{slope2}Bslope2​
​
40%
​Borrowing Interest Rate and Lending Interest Rate can be illustrated in the following chart:
Interest Rate Model
​

Collateral asset	LTV
sORAI	60%
scORAI	60%

Asset	Reserve Factor
USDT	10%

Parameter	Value
$U_{optimal}$	80%
$B_0$	2%
$B_{slope1}$	8%
$B_{slope2}$	40%

ORCHAI MONEY MARKET - Previous

Liquidation

Stake

Last modified 5mo ago