User-Set Interest Rates

Borrowers determine their interest rate to balance cost and risk. Interest is added to the outstanding debt, and adjustments can be made anytime, with a small premature adjustment fee for changes within seven days.

• Setting Rates: Borrowers can set higher rates for peace of mind or lower rates for cost efficiency. A histogram of user rates helps borrowers position themselves strategically.

• Revenue Sharing: 75% of interest revenue is distributed to Earn, creating sustainable yields and encouraging adoption. 25% goes to LP incentives and growth.