In general, borrowers refer to users who deposit a certain asset to take a loan on another asset and receive rewards during the borrowing period. Below is an example scenario of a borrower in Balanced lending pool:
Bob deposits 100 ICX.
Bob takes a loan of 25 bnUSD.
Bob receives 5 BALN everyday as long as his borrowing position is safe.
Bob returns 25 bnUSD, takes back 100 ICX plus 35 BALN after 1 week of borrowing.
For this strategy, Optimus focuses more on reducing borrowing risks for the users by:
Continuously monitor and adjust the borrowing position in case price drops too quickly. For example, if ICX price drops too fast your borrowing position can be liquidated at a very low price, Optimus will monitor the market price for every minute and reduce the total borrowing amount to below reward threshold.
Automatically claim token reward and distribute back to users' wallet.
Optimus currently supports the following lending pool:
Balanced: deposit ICX to borrow bnUSD.