Rates and Fees
Supply and Demand
Interest rates for both borrowing and lending are calculated based on a single dynamic variable reflecting the current supply and demand for each liquidity pool on the market. When liquidity is low, interest rates increase algorithmically to incentivize lenders to inject more liquidity into the pool. When liquidity is high, interest rates are reduced algorithmically to provide attractive and competitive rates to borrowers.
Utilization | 6.7% | 13.3% | 20% | 40% | 60% | 80% | 86.7% | 93.3% |
Borrow Rate | 1.33% | 1.67% | 2.00% | 2.67% | 3.33% | 4.00% | 12.67% | 21.33% |
Lend Rate | 0.09% | 0.22% | 0.40% | 1.06% | 1.98% | 3.17% | 10.87% | 19.71% |
Utilization | 0.7% | 1.3% | 2.0% | 28% | 54% | 80% | 80.67% | 93.3% |
Borrow Rate | 1.5% | 2.0% | 2.5% | 11.67% | 20.83% | 30% | 36.67% | 43.33% |
Lend Rate | 0.01% | 0.03% | 0.05% | 3.23% | 11.14% | 23.76% | 31.36% | 40.04% |
Utilization | 0.7% | 1.3% | 2.0% | 28% | 54% | 80% | 80.67% | 93.3% |
Borrow Rate | 1.5% | 2.0% | 2.5% | 11.67% | 20.83% | 30% | 36.67% | 43.33% |
Lend Rate | 0.02% | 0.05% | 0.10% | 1.55% | 4.42% | 8.71% | 14.87% | 21.87% |
​ | USDC & DAI | BTC | ETH |
Min Rate (0% UR) | 1.00% | 1.00% | 1.00% |
Healthy Min UR | 20.00% | 2.00% | 4.00% |
Healthy Min Rate | 2.00% | 2.50% | 2.50% |
Healthy Max UR | 80.00% | 80.00% | 80.00% |
Healthy Max Rate | 4.00% | 30.00% | 11.00% |
Max Rate (100% UR) | 30.00% | 50.00% | 30.00% |
Earn uses a decentralized price oracle, ChainLink, to calculate current mid-market rates between assets on the protocol. Exchange rates between currencies are prone to volatility.
All transactions on the Ethereum network incur gas fees. Users can choose to pay more or less gas according to their need for fast transaction processing.
Borrowing also incurs origination fees amounting to 0.1% of the borrow size. This amount is added to the balance owed.
