Confidential Lending & Borrowing
The Obolus Lending Market allows users to unlock liquidity from their Smart Vault positions without exiting their yield-generating RWA holdings. It bridges the gap between long-term investment and short-term capital needs.
Key Lending Features
- Collateral Options: Use any supported RWA token (e.g.,
NVDAon,ARKKon) or vault receipt as collateral. - Credit Lines: Borrow the protocol's stablecoin (
oUSD) at competitive interest rates. - Private Loan Management: Your collateral ratios, credit limits, and current debt are cryptographically shielded from the server.
- Dynamic LTV: Market-leading Loan-to-Value (LTV) ratios, optimized for low-volatility institutional RWAs.
The Lending Lifecycle
- Seal Collateral: The user chooses to "stake" 50
TSLAontokens as collateral. - Borrow Intent: The user requests a $3,000
oUSDloan. - Privacy Encapsulation: Both the collateral value and the requested loan amount are encrypted via ECIES.
- CRE Execution: The Settler's TEE verifies the LTV compliance and executes the on-chain lending contract to mint the
oUSD.
- LTV (Loan-To-Value): Up to 80% for certain low-volatility RWA-backed vaults.
- Liquidation: If the collateral value (as reported by the Price Oracle) falls below the maintenance threshold, a liquidation event is triggered via the Settler.
Comparison with Traditional Lending
| Feature | TradFi Bank | Aave / Radiant | Obolus Lending |
|---|---|---|---|
| Asset Type | Real Estate / Stocks | Crypto Assets | Tokenized RWAs |
| Privacy | Full Visibility (Bank) | None (Public Chain) | Blinded (TEE) |
| Eligibility | KYC / Credit Score | Permissionless | Permissionless |
| Settlement | Multiple Days | Instant (Public) | T+0 (Private) |
For automated rebalancing and debt management, see our Smart Vaults guide.