#termmax @TermMax
I deposited 1,000 USDC into the Vault at @TermMax. But what happens to the money that nobody has borrowed yet?
Credit protocols have a simple problem: if there’s no demand for part of the liquidity, capital can just sit waiting for its borrower.
TermMax V2 has a Base Yield for that.
For example, of my 1,000 USDC right now, only $700 is actively working inside TermMax. The remaining $300 doesn’t have to be idle with no return.
The Vault curator can choose a base yield in advance for idle assets—for example, via Aave or Morpho.
So the logic is this:
$1,000 deposit → $700 works in TermMax → $300 can keep generating Base Yield.
When demand appears for that capital in TermMax, it can be redirected back to the main strategy.
A small detail, but it solves a very real DeFi problem—what to do with liquidity that’s temporarily not needed by anyone.
I deposited 1,000 USDC into the Vault at @TermMax. But what happens to the money that nobody has borrowed yet?
Credit protocols have a simple problem: if there’s no demand for part of the liquidity, capital can just sit waiting for its borrower.
TermMax V2 has a Base Yield for that.
For example, of my 1,000 USDC right now, only $700 is actively working inside TermMax. The remaining $300 doesn’t have to be idle with no return.
The Vault curator can choose a base yield in advance for idle assets—for example, via Aave or Morpho.
So the logic is this:
$1,000 deposit → $700 works in TermMax → $300 can keep generating Base Yield.
When demand appears for that capital in TermMax, it can be redirected back to the main strategy.
A small detail, but it solves a very real DeFi problem—what to do with liquidity that’s temporarily not needed by anyone.