Lending

How lending works

Each coin has its own pot of USDG. Lenders fill it; borrowers draw from it against their coins. The interest borrowers pay goes to the lenders of that pot and nowhere else.

Pick a coin on the Lend page, choose an amount, and lend. Your USDG starts earning the moment it is in.

What you earn

Lend APY = borrow rate × share of the pot lent out, after the reserve's 10%.

A pot that is half lent out at a 25% borrow rate pays its lenders about 11% a year. A pot nobody is borrowing from pays nothing. The Lend page shows the live number for every coin, and Interest rates shows the whole curve.

Interest is added to your balance every second. There is no claiming; it is in the amount you can withdraw.

Withdrawing

Your USDG is lent, not locked. You can withdraw whenever the pot has USDG that is not lent out. If most of it is out on loan, the rate climbs steeply, borrowers repay, and USDG comes back. The page shows how much is free right now.

The reserve pot

Every coin also has a small reserve that grows from fees and 10% of its interest. It belongs to the market, not to any lender, and it sits behind the pot as a cushion.

The treasury float

The treasury float is the bank's own money. It goes wherever someone is borrowing and comes back when they repay.

When a borrower asks for more than a pot has, the float moves USDG into that pot on demand, and the borrow goes through a few seconds later. When the loan is repaid, the float pulls it back out. Lending you do yourself is separate: it stays in the coin you chose and earns that coin's interest. The Lend page shows how much of each pot is the float and how much is other lenders.