📈Interest Rate Model
APY Function
The parameters below are borrowing major coins
Borrow APY
= {1 + [BaseRatePerSecond + MultiplierPerSecond * min(UtilizationRate, Kink1) + max(JumpMultiplierPerSecond1 * UtilizationRate - Kink2,0) * JumpMultiplierPerSecond2] / SecondsPerYear } ^ SecondsPerYear - 1
Where:
UtilizationRate = Borrows / (Cash + Borrows - Reserves)
SecondsPerYear = 31,557,600 (accounting for leap years)
Supply APY
= Distribute (Interest Paid by Borrowers Per Second - Reserve) to all suppliers, and convert it into APY
= Distribute [(1 + Borrow APY) ^ (1 / SecondsPerYear) - 1] * Total Borrow * (1 - Reserve Factor) to all suppliers, and convert it into APY
= {[(1 + Borrow APY) ^ (1 / SecondsPerYear) - 1] * Total Borrow * (1 - Reserve Factor) / Total Supply}, and convert it into APY
= {1 + [(1 + Borrow APY) ^ (1 / SecondsPerYear) - 1] * Total Borrow * (1 - Reserve Factor) / Total Supply} ^ SecondsPerYear - 1
= {1+[(1+Borrow APY)^(1/SecondsPerYear)-1]*(1-Reserve Factor)*Utilization Rate}^SecondsPerYear-1
Where:
BorrowRate = BaseRatePerSecond + MultiplierPerSecond * UtilizationRate (if UtilizationRate <= Kink1) or BaseRatePerSecond + JumpMultiplierPerSecond1 * UtilizationRate (if UtilizationRate > Kink1 and UtilizationRate <= Kink2) or BaseRatePerSecond + JumpMultiplierPerSecond1 * Kink2 + (UtilizationRate - Kink2) * JumpMultiplierPerSecond2 (if UtilizationRate > Kink2)
UtilizationRate = Borrows / (Cash + Borrows - Reserves)
ReserveFactor = Reserve Factor Mantissa
Parameter
Major
Token
USDC, WETH, WBTC, FRAX, CRVUSD, DAI
Base
0%
Multiplier
9e16
JumpMultiplier1
9.8e16
JumpMultiplier2
1.1e18
Kink 1
55%
Kink 2
89.5%
Contract Address
0xC82151fc8C8f4c8042beea293FeAb8764221d7fD
0
0%
5%
0.48%
10%
0.95%
20%
1.90%
30%
2.85%
40%
3.80%
50%
4.75%
60%
5.88%
70%
6.86%
80%
7.84%
85%
8.33%
90%
9.05
95%
14.55%
100%
20.05%
Last updated
