Pac Finance is a self-paying lending and margin trading protocol with dual automatic compounding and leverage.
Key Features:
- Hybrid Lending: Provides multiple lending models such as peer-to-peer and peer-to-pool.
- Native Yield: Users can earn more through native yield.
- One-Click Leverage: A one-click transaction can increase the leverage of a user's position, thereby earning more points.
- Self-paying: Pac Finance allows users to use future earnings to pay off current debts.
- 100% Gas Refund
Hybrid lending
Pac Finance supports peer-to-pool lending, as in AAVE V3, and peer-to-peer lending. This dual approach improves capital efficiency by optimizing asset utilization.
The peer-to-pool lending model is particularly effective in providing liquidity and stability in the lending market.
Peer-to-peer lending provides a more personalized approach to borrowing and lending. It allows users to interact directly with each other to set their own lending and borrowing terms.
In addition to classic crypto-assets such as ETH or USDB, at Pak Finance you can get a loan against NFT derivatives from the liquidity positions (lp-NFT) of the decentralized exchanges DTX and Thruster.
Native Yield
In Pac Finance, liquidity providers (LPs) can earn revenue in two main ways, which together form the primary incentive mechanism in the lending protocol.
- Supply Annual Percentage Yield (Supply APY):
- Dynamic interest rate model: Supply APY is dynamically calculated based on the average interest rate on a loan, which reflects the supply and demand in the market. An algorithmic model is used to adjust rates in real time to ensure efficient liquidity allocation.
- Utilization rate weighting: the APY is calculated based on the reserve utilization ratio (the ratio of borrowed funds to total reserves). A higher utilization rate means higher demand for liquidity, resulting in higher profits for liquidity providers.
- Risk adjustment: The level of the utilization ratio also serves as a risk indicator. The protocol uses a utilization ratio threshold to balance yield and risk, ensuring system stability.
- Native Yield:
- Innovative Blast mechanism allows users to generate additional returns without sacrificing liquidity.
- Growth in value over time: Unlike traditional lending protocols, Pac 's model encourages long-term investment. Over time, your native yield as delivered.
Gas refunds
In the blockchain ecosystem, gas fees have consistently been one of the major issues facing users. These fees, especially during periods of high network load, can grow rapidly, creating a significant burden on users.
Pac Finance has introduced a mechanism where 100% of the gas charges incurred for all transactions conducted on the platform are returned to users. This strategy effectively addresses the high costs faced by users during transactions.
Lending Loop
Pac Finance offers a one-click loop feature.
Traditional leveraged lending processes involving multiple steps such as loop borrowing and exchanging are not only cumbersome, but also have the potential to accrue significant fees as a result of multiple transactions. Pac Finance's one-click feature eliminates these complexities by offering a more direct and efficient method of leveraged trading.
Utilizing flash lending technology, the platform allows users to achieve leverage in a single transaction. This method reduces the risk of liquidations in the process of increasing leverage. With one-click looping, users can effortlessly adjust their leverage positions. As long as users maintain a safe leverage ratio, the risk of triggering liquidation mechanisms during leverage increases is minimized, making leveraged trading more accessible and safer for a wide range of users.
Pac Finance uses Flashloan to complete a one-click cycle that will generate 0.01% commission. 100% of the commission will be passed on to the lenders and Pac Finance will not charge any fees.
Self Repayment
Pac Finance introduces a feature that allows users to use accrued interest on deposits to offset a portion of interest on loans.
Efficiency Mode (E-Mode)
When collateral and borrowed assets have correlated prices, the E-Mode feature maximizes capital efficiency.
By enabling E-Mode, you have a higher borrowing capacity than assets in the same E-Mode category (up to 95% LTV).
In E-Mode, borrowing is only available for one asset type (for example ETH and ezETH).
