πŸ§‘πŸ«
Common Terms
Use the list on the right side to skip to the term you need!

Supply APR

As seen on the Markets page.
Supply APR is the annual interest rate lenders RECEIVE for supplying their assets on the Umee market.
These rates are variable, and may change over time based on supply and demand.
Supply APR Example

Borrow APR

As seen on the Markets page.
Borrow APR is the annual interest rate borrowers OWE for borrowing assets from the Umee market.
These rates are variable, and may change over time based on supply and demand.
Borrow APR Example

Net APY

As seen on the Dashboard page.
The net APY is the actual interest rate a user will EARN (if the number is positive) or OWE (if the number is negative) over the course of a year. The net APY takes all assets a user supplies and borrows into account in order to give the user an idea of the interest they will earn or owe.
Net APY Examples

Collateral

As seen on the Dashboard page.
If an asset can be used as collateral, it means that a user who deposits the asset will be able to borrow against it. When a liquidation occurs, a portion of the assets being used as collateral will be used to pay off the outstanding loan plus the liquidation penalty.

Maximum LTV

As seen on the Dashboard page.
β€œLTV” stands for Loan-to-Value. The maximum LTV is the maximum amount that can be borrowed against the asset supplied as collateral.
Maximum LTV Example
Users should avoid borrowing the maximum available amount in order to help protect themselves from being liquidated.

Borrow Limit

As seen on the Dashboard page.
The borrow limit is the maximum amount a user can borrow against the collateral they have provided. Once a user’s total borrowed amount reaches 80% of their total borrow limit, they will be unable to withdraw collateral or borrow any more assets until they repay part of their loan(s) or deposit more collateral. A liquidation will not occur until a user's borrowed amount reaches 100% of the borrow limit.
If a user’s borrow limit reaches 100% it means that the liquidation threshold has been reached, and the user will be liquidated.

Liquidation Threshold

As seen on the Dashboard page.
The liquidation threshold is the LTV ratio at which a borrower should expect to be liquidated.
Liquidation Threshold Examples

Liquidation Penalty

As seen on the Dashboard page.
The liquidation penalty is the fee paid by a borrower in the event that they are liquidated. Borrowers should always try to ensure that their positions remain properly over-collateralized in order to avoid paying a liquidation penalty.
Liquidation Penalty Example