#termmax @TermMax
A lenders return Becomes much easier to follow when you watch what actually ends up in the wallet.
A lender provides debt tokens into a borrowing range order. During the matching process the lender receives FTs that Represent the amount lent and additional FTs connected to the fixed return.
The XT matters in that process because the borrower exchanges the interest part of the FTs for XT. The lender ends up holding the interest part as additional FTs rather than keeping the return as some separate cash payment.
That gives the lender a very Concrete position to hold until maturity.
The principal side remains represented by FTs. The Interest earned through the matched lending rate also becomes part of the lenders FT balance.
At maturity those FTs can be redeemed for the corresponding Debt tokens.
What I like about this flow is How visible the lenders economics become.
The return is not something you have to calculate from a changing Rate later. It is represented in the FT balance that the lender can carry toward maturity.
@TermMax TMX #TermMax
A lenders return Becomes much easier to follow when you watch what actually ends up in the wallet.
A lender provides debt tokens into a borrowing range order. During the matching process the lender receives FTs that Represent the amount lent and additional FTs connected to the fixed return.
The XT matters in that process because the borrower exchanges the interest part of the FTs for XT. The lender ends up holding the interest part as additional FTs rather than keeping the return as some separate cash payment.
That gives the lender a very Concrete position to hold until maturity.
The principal side remains represented by FTs. The Interest earned through the matched lending rate also becomes part of the lenders FT balance.
At maturity those FTs can be redeemed for the corresponding Debt tokens.
What I like about this flow is How visible the lenders economics become.
The return is not something you have to calculate from a changing Rate later. It is represented in the FT balance that the lender can carry toward maturity.
@TermMax TMX #TermMax
