Market strategies

Choose a sensible starting point.

Choose how your market balances affordable borrowing, lender earnings, and protection against losses. A strategy is only a starting point—the settings become permanent when the market launches.

Quick chooser

Find a starting point

Who do you want to prioritize?How risky is the collateral?How much initial USDC?

Suggested starting pointBalancedInterface suggestion only—not financial advice or a safety guarantee.

Balanced

Moderate risk

Best for: Attracting both borrowers and lenders

For borrowers

Rates start low while plenty of USDC is available.

For lenders

Rates rise as more of the pool is borrowed.

Main riskNeither side receives maximum priority.

Liquidation limit50%

Starting APR2%

Target use80%

0% used

2%Lenders: 0% est.

25% used

7.62%Lenders: 1.62% est.

50% used

13.25%Lenders: 5.63% est.

80% used

20%Lenders: 13.6% est.

90% used

70%Lenders: 53.55% est.

100% used

220%Lenders: 187% est.

More USDC availableHealthy borrowingGetting fullAlmost all borrowed

View advanced settings

Starting borrow APR: 2% when almost no USDC is used
Target utilization: 80% — when the pool becomes busy
APR at target: 20%
Maximum APR: 220%
Curve: Quadratic — controls the rise above target
Wallet cap suggestion: 5% of the market cap
First-loss reserve: 10% of initial liquidity

Lender APR examples use the exact SDK formula and standard 10% creator + 5% protocol fee split. Returns are variable and not guaranteed.

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Strategy example

Borrower Friendly

Moderate risk

Best for: Affordable USDC borrowing for token owners

For borrowers

Lower borrowing costs across most pool conditions.

For lenders

More affordable loans may attract borrowing demand.

Main riskLenders may earn very little when utilization is low.

Liquidation limit50%

Starting APR1%

Target use85%

0% used

1%Lenders: 0% est.

25% used

3.64%Lenders: 0.77% est.

50% used

6.29%Lenders: 2.67% est.

85% used

10%Lenders: 7.22% est.

90% used

40%Lenders: 30.6% est.

100% used

100%Lenders: 85% est.

More USDC availableHealthy borrowingGetting fullAlmost all borrowed

View advanced settings

Starting borrow APR: 1% when almost no USDC is used
Target utilization: 85% — when the pool becomes busy
APR at target: 10%
Maximum APR: 100%
Curve: Linear — controls the rise above target
Wallet cap suggestion: 5% of the market cap
First-loss reserve: 10% of initial liquidity

Lender APR examples use the exact SDK formula and standard 10% creator + 5% protocol fee split. Returns are variable and not guaranteed.

Use this strategy

Strategy example

Protect Lenders

Moderate risk

Best for: Stronger lender returns and liquidity protection

For borrowers

A more conservative collateral limit reduces sudden-loss exposure.

For lenders

Rates respond strongly when available USDC becomes scarce.

Main riskBorrowing is more expensive.

Liquidation limit40%

Starting APR5%

Target use70%

0% used

5%Lenders: 0% est.

25% used

13.92%Lenders: 2.95% est.

50% used

22.85%Lenders: 9.71% est.

70% used

30%Lenders: 17.85% est.

90% used

118.88%Lenders: 90.94% est.

100% used

330%Lenders: 280.5% est.

More USDC availableHealthy borrowingGetting fullAlmost all borrowed

View advanced settings

Starting borrow APR: 5% when almost no USDC is used
Target utilization: 70% — when the pool becomes busy
APR at target: 30%
Maximum APR: 330%
Curve: Cubic — controls the rise above target
Wallet cap suggestion: 3% of the market cap
First-loss reserve: 15% of initial liquidity

Lender APR examples use the exact SDK formula and standard 10% creator + 5% protocol fee split. Returns are variable and not guaranteed.

Use this strategy

Strategy example

New or Low-Liquidity Token

High risk

Best for: Volatile or thinly traded collateral

For borrowers

Creates a lending option with deliberately smaller limits.

For lenders

Lower leverage and faster rate increases add protection.

Main riskThin liquidity can still produce bad debt despite conservative settings.

Liquidation limit30%

Starting APR10%

Target use60%

0% used

10%Lenders: 0% est.

25% used

26.66%Lenders: 5.66% est.

50% used

43.33%Lenders: 18.41% est.

60% used

50%Lenders: 25.5% est.

90% used

239.84%Lenders: 183.48% est.

100% used

500%Lenders: 425% est.

More USDC availableHealthy borrowingGetting fullAlmost all borrowed

View advanced settings

Starting borrow APR: 10% when almost no USDC is used
Target utilization: 60% — when the pool becomes busy
APR at target: 50%
Maximum APR: 500%
Curve: Cubic — controls the rise above target
Wallet cap suggestion: 1% of the market cap
First-loss reserve: At least 25% of initial liquidity

Lender APR examples use the exact SDK formula and standard 10% creator + 5% protocol fee split. Returns are variable and not guaranteed.

Use this strategy

Strategy example

Incentivized Launch

High risk

Best for: Attracting the first USDC lenders

For borrowers

Uses the same reasonable borrowing curve as Balanced.

For lenders

Separately funded, temporary token rewards may supplement interest.

Main riskRewards do not remove collateral, liquidity, or bad-debt risk.

Liquidation limit50%

Starting APR2%

Target use80%

0% used

2%Lenders: 0% est.

25% used

7.62%Lenders: 1.62% est.

50% used

13.25%Lenders: 5.63% est.

80% used

20%Lenders: 13.6% est.

90% used

70%Lenders: 53.55% est.

100% used

220%Lenders: 187% est.

More USDC availableHealthy borrowingGetting fullAlmost all borrowed

View advanced settings

Starting borrow APR: 2% when almost no USDC is used
Target utilization: 80% — when the pool becomes busy
APR at target: 20%
Maximum APR: 220%
Curve: Quadratic — controls the rise above target
Wallet cap suggestion: 5% of the market cap
First-loss reserve: 10% of initial liquidity

Lender APR examples use the exact SDK formula and standard 10% creator + 5% protocol fee split. Returns are variable and not guaranteed.

Use this strategy

Compare

Strategies at a glance

Strategy	Borrower cost	Lender potential	Collateral protection	Liquidity protection	Best use	Risk
Balanced	2% to 220%	Moderate, variable	Standard	Standard	Attracting both borrowers and lenders	Moderate
Borrower Friendly	1% to 100%	Lower	Standard	Standard	Affordable USDC borrowing for token owners	Moderate
Protect Lenders	5% to 330%	Higher, variable	Stronger	Stronger	Stronger lender returns and liquidity protection	Moderate
New or Low-Liquidity Token	10% to 500%	Moderate, variable	Stronger	Stronger	Volatile or thinly traded collateral	High
Incentivized Launch	2% to 220%	Moderate, variable	Standard	Standard	Attracting the first USDC lenders	High

Loading the latest available market data…

Strategy

Borrower cost

Lender potential

Collateral protection

Liquidity protection

Best use

Risk

Balanced

2% to 220%

Moderate, variable

Standard

Attracting both borrowers and lenders

Moderate

Borrower Friendly

1% to 100%

Lower

Standard

Affordable USDC borrowing for token owners

Moderate

Protect Lenders

5% to 330%

Higher, variable

Stronger

Stronger lender returns and liquidity protection

Moderate

New or Low-Liquidity Token

10% to 500%

Moderate, variable

Stronger

Volatile or thinly traded collateral

High

Incentivized Launch

2% to 220%

Moderate, variable

Standard

Attracting the first USDC lenders

High