xDollar

100% decentralized multi-chain multi-collateral stablecoin lending protocol at 0% interest rates.

xDollar Space (V2) is a multi-chain interest free lending platform that users can borrow non-custodial stablecoin, XIM (xDollar Interverse Money) against their crypto assets on any side chains with a minimum collateral ratio. xDollar’s is here to democratize the store value of crypto assets on all chains with more utilization.

To begin our multichain planet exploration, xDollar Space starts with the Ethereum for soft launch and will eventually expand into other chains.

1. Borrow XIM against $WETH (or $WBTC or other tokens) by opening a Trove

2. Secure XIM by providing XIM to the Stability Pool in exchange for SPACE rewards

3. Lock SPACE for xSPACE token

4. Stake xSPACE to earn the fee revenue paid for borrowing and redeeming XIM.

5. Redeem 1 XIM for 1 USD worth of $WETH or WBTC when the XIM peg falls below $1

There is a one-off fee whenever XIM is borrowed, and when XIM is redeemed:

- For borrowers, there is a borrowing fee on loans as a percentage of the drawn amount (in XIM).

- For redeemers, there is a redeem fee on the amount paid to users by the system (in $WETH) when exchanging XIM for $WETH or $WBTC. Note that redemption is separate from repaying your loan as a borrower, which is free of charge.

Both fees depend on the redemption volumes, i.e. they increase upon every redemption in function of the redeemed amount, and decay over time as long as no redemptions take place. The intent is to throttle large redemptions with higher fees, and to throttle borrowing directly after large redemption volumes. The fee decay over time ensures that the fee for both borrowers and redeemers will “cool down”, while redemptions volumes are low.

The fees cannot become smaller than 0.5% (except in Recovery Mode), which protects the redemption facility from being misused by arbitrageurs front-running the price feed. The borrowing fee is capped at 5%, keeping the system (somewhat) attractive for borrowers even in phases where the monetary is contracting due to redemptions.

Other than that, the two fees are identical and are depicted as "Fee" in the following exemplary chart:

What are the main use cases of xDollar?

Does xDollar charge any fees?