🌐 Global Parameters

Minimum Debt Size

The minimum amount of assets that a user can borrow to open a leveraged position:

Deposit Pool

Value

ALPACA

50

BNB

0.2

BUSD

100

USDT

100

TUSD

100

BTCB

0.002

ETH

0.04

Global Parameters

(*All fees below are already factored into the displayed APYs on the app. What you see is what you earn.)

Parameter

Value

Description

Liquidation Bounty

5%

4% (out of 5%) of the Position Value at liquidation goes to weekly buyback&burn of ALPACA. 1% goes to the liquidator as a reward for closing the position when Safety Buffers reaches 0.

Lending Performance Fee

19%

Percent of the borrowing interest profit of lenders that is collected as a performance fee; 10% (out of 19%) goes to weekly buyback&burn of ALPACA. 9% goes to Alpaca's development fund.

Farming Performance Fee

3%

Percent of the yield farming rewards portion of farmer revenue that goes to Alpaca's development fund. (Trading fees and ALPACA rewards do not incur any performance fees)

Single-Asset Farming Performance fees

19%

10% goes to ALPACA buyback and is then distributed as performance fee sharing for ALPACA lenders (as Protocol APR). 9% goes towards Alpaca's development fund.

Interest Rate Model

We employ a triple-slope interest rate model to determine the borrowing interest rate. See details below:

Utilization Range

Interest rate at min. range

Interest rate at max. range

m

b

0% - 60%

0%

20%

1/3

0

60% - 90%

20%

20%

0

0.2

90% - 100%

20%

150%

13

-11.5

Borrowing Interest = m * utilization + b

Lending Interest = Borrowing Interest * Utilization * ( 1 - Lending Performance Fee)