Aada Finance V1 Protocol

The V1 lending protocol is a peer-to-peer lending protocol that utilizes NFT Bonds.
Full process of peer to peer lending through Smart Contract (no liquidation)
TX1 - The Borrower creates a Loan request with custom parameters like collateral size, loan term, fee, loan asset, and amount. Once the Borrower confirms the loan request and signs the transaction, he receives an NFT, and the Loan request appears on the Market. The NFT is a "key" for canceling or changing the loan parameters.
TX2 - The Lender selects a suitable loan request, signs the transaction, receives an NFT, and funds the loan request.
TX3 - The Borrower's loan is due to expire, so it's time to repay the loan. The Borrower does so by providing the NFT bond + borrowed assets and redeems the collateral with deducted fees.
TX4 - The Lender redeems the assets + accumulated fees by providing the Lender's NFT.
TX1 - The Lender creates a Liquidity deposit with custom parameters like loan asset and amount on offer, term, interest, and collateral to be provided. Once the Lender confirms the loan offer and signs the transaction, he/she receives an NFT, and the Liquidity deposit appears on the Market. The NFT is a "key" for canceling or changing the loan parameters.
TX2 - The Borrower selects a suitable loan offer, signs the transaction, and receives an NFT with the loan after providing the required collateral.
TX3 - The Borrower's loan is due to expire, so it's time to repay the loan. The Borrower provides the NFT bond + borrowed assets and redeems the collateral with deducted fees.
TX4 - The Lender redeems the assets + accumulated fees by providing the Lender's NFT.
IMPORTANT!
  • If the Borrower does not repay the loan on time, the Lender can Liquidate the loan and claim the Collateral.
  • If the Borrower doesn't repay on time, but the Lender does not trigger Liquidation, the Borrower can still repay the loan.
  • Loan requests can be canceled or changed with the underlying NFT the user received after depositing the Collateral.
  • The Aada Finance V1 protocol is fully decentralized, which means all transactions are immutable and cannot be reverted.