MYSO v2 User Guide — Mainnet
A fully-fledged walkthrough of Blitz Match: peer-to-peer borrowing/lending on MYSO v2
The launch of MYSO v1 earlier this year was a critical step in bringing non-liquidatable, oracle-free, fixed-interest loans to the forefront of DeFi. After new learnings and user feedback, we launched our v2 testnet in mid-June and have since been improving the protocol in areas like capital utilization, efficiency, and cost structuring.
Now, we’re happy to announce that after months of work and numerous security audits, the MYSO v2 protocol is now live!
You can access the v2 here — https://app.myso.finance/
MYSO v2 represents a significant overhaul of the protocol for both borrowers and lenders, implementing an innovative approach to how you can structure your on-chain loans + yield strategies.
Below, we’ve prepared a detailed step-by-step guide to get all you MYSO v2 enjoyers acquainted with both borrowing and lending on Blitz Match, our peer-to-peer marketplace!
Let’s dive into borrowing and lending on MYSO v2 to learn how you can unlock a Million Yield-Structuring Opportunities!
When first interacting with the dApp, you need to connect your wallet — currently, MYSO v2 supports MetaMask, Coinbase Wallet, and WalletConnect!
Once you’ve connected your wallet, you’re ready to either create your own lending market or take out your first Zero-Liquidation Loan on MYSO v2!
Let’s first walk through borrowing and taking out a ZLL👀
We’ve set up the user flow to be a step-by-step process and we’ve clearly demarcated each part, from selecting your intended pair to the intended pledge amount and the distinct quotes available.
Step #1 — Select your borrow pair + preferred Tenor/LTV range
The first step in taking out a Zero-Liquidation Loan is selecting the token you want to put up as collateral. You can filter by both collateral and lending currency. After selecting your intended borrow pair, you can select a loan tenor range as well as your preferred LTV range — available quotes will now be further filtered.
For the sake of simplicity, we’ll be pledging wETH as collateral and borrowing USDC for this guide.
Step #2 — Select your pledge amount and if you want to lever up
For the second step of the process, enter the amount of wETH you want to pledge as collateral, as well as if you want to toggle 1-Click Looping.
This setting allows users to lever up using a built-in atomic single-transaction mechanism. The amount of leverage you can take on depends on your preferred LTV range and available loan quotes, and we’ve written more about the architecture in a Medium piece here.
Note: 1-Click Looping may not be available for all pairs as it requires a liquid market on a Balancer or Uni v3 DEX pool.
Step #3 — Select your preferred loan quote
Let’s say that we want to put up 1 wETH as collateral and don’t have a preferred tenor/LTV range.
This section of the dApp will show you the loan quotes available based on your pledge amount and loan preferences. Here, we’re shown the distinct parameters for each quote, including the loan tenor, loan amount, term rate/APR, upfront fee, LTV, and maximum loan amount.
You can sort based on any of these selections — once you’ve found one that suits your needs, you can go ahead and select it. Loans that are available are defined by individual lenders, who can create quotes based on their own preferences and risk/return profile.
For the wETH/USDC pair, I like a higher LTV loan where the upfront fee is lower, so this second quote is perfect!
Step #4 — Review your loan and confirm
The final step for taking out your first Zero-Liquidation Loan is simply reviewing all of the loan details, approving the necessary tokens, and sending out the borrow transaction!
My selected loan will require me to repay the principal borrow amount plus a $26.31 upfront fee paid out in wETH and a $11.39 USDC interest fee before September 28, 2023.
It’s important to note that the interest fee is due in the loan currency (USDC) when you repay the loan while the upfront fee is deducted upfront from the collateral (wETH).
This means that the amount of collateral we can reclaim is the pledged amount minus the upfront fee, which amounts to ~.98489 wETH.
If you fail to repay the loan prior to expiry, the loan will default and your collateral will be available to be claimed by the lender.
Manage your Loans
Once you’ve taken out your first loan, you will be automatically sent to the “Manage Loans” page of the dApp where you’ll be able to view all of your currently-open loans.
We can see several parameters for each open loan, including the loan currency, collateral currency, loan ID, borrow amount, loan expiry date, repayment amount remaining, and the collateral amount to reclaim. You’ll be able to see your past loans in the “Past Loans” section.
To repay before expiry, simply click on the “Repay” button for the appropriate loan and be sure to have the repayment amount in your wallet before finalizing the repayment. You’ll be able to partically repay your loan at any time prior to expiry, but in order to reclaim your collateral, the loan must be fully repaid prior to expiry.
You’ve now successfully taken out your first Zero-Liquidation Loan on MYSO v2!
Now, let’s walk through lending — creating your first Zero-Liquidation Loan market 👀
To start, you need to create a bespoke lender vault. Simply click on the “Lender” tab on the top of the MYSO v2 dApp and you will be automatically taken to the “Create a Vault” page. Click the button, and your lender vault will be created.
Once the vault creation transaction goes through, you’ll be shown a new page where you can select the vault you want to interact with.
Once you select your newly-created vault, you’ll be taken to the main Vault page, where you can add lending assets, create quotes, view live quotes, check loan history, etc.
The next important step before sending out your first loan quote is to fund your lending vault. Click on “Add New Lending Assets” and select the lending currency as well as the amount you want to supply to your vault. Now, click “Add and Deposit” and you lending vault will be funded!
For the purposes of this guide, we’ll be adding 10,000 USDC to our lending vault.
You can now see that your lending vault has been funded. Under the “Action” header, you are able to i) Add additional lending currency to the vault and ii) withdraw lending currency from the vault.
Lenders can at any time withdraw all of their “freely available” funds from the vault. By “freely available” funds, we refer to all the vault’s token balances that aren’t earmarked as locked collateral from borrowers.
Now that your lender vault is funded with the currency you want to lend out, it’s time to create a loan quote. Click the “Quotes” tab and navigate to the “Proposed” quotes section. For now, creating/editing quotes is fully available through this page but will soon be offered on the “Created” quotes section as well.
Now, you’ll be able to select the loan/collateral asset pair that you want to quote for. Select the pair you want to quote for and you’ll be taken to the main quoting page.
Here, you can:
- View available quotes
- Use/copy proposed quotes
- Update proposed quotes
- Create new quotes
To edit currently-available quote, click the ‘pencil’ icon and you’ll be able to adjust any of the available loan parameters. To delete a quote, simply click the ‘trash’ icon and the given quote will be removed.
To add a new quote, click the “+ Add New Quote” button and enter your desired loan parameters. To learn more about fairly-pricing Zero-Liquidation Loans, we’ve put together a Medium piece describing this process and linked it on the quoting page. In addition, clicking on the ‘calculator’ icon will take you to our interactive ZLL Pricer where you’ll be able to more-easily determine fair APRs across a variety of different LTV/tenor combinations.
Once you’ve added your desired quote(s) and edited/removed any of the already-available ones, you can click “Confirm & Copy Quotes” and all of the quotes will be created and will now be live!
Once you’ve clicked this button and confirm the corresponding transaction, you’ll be taken back to the “Created” quotes section and will be able to see each of your live quotes. Each live quote description here shows the loan asset, collateral asset, quote ID, type (on-chain or off-chain), time the quote is created/is valid by, the total loan volume, and the quote status.
The last page that is important for lenders is the “Loan History” tab, which shows information and the current status of Open/Closed loans. Once your quote(s) are accepted by borrowers, more data will pop up here.
If you’d like to delete any active quotes, navigate back to the “Created” quotes tab and click on one of your active quotes. Under the quote tuple, you’ll see a button that says “Remove All Quotes” — this will remove all active quotes within the distinct Quote ID.
Note: You can only delete the whole quote tuple rather than individual quotes within a distinct Quote ID.
Once borrowers start accepting your loan quotes, their collateral will appear in the “Collateral Assets” section of the “Overview” tab in your lender vault.
While a given loan is live, borrower’s collateral will be locked in the vault. The total locked & claimable amount will be displayed at the top of this section. If a borrower decides to default on their loan, their collateral becomes ‘claimable’ and you’ll be able to claim and withdraw it from your vault.
Additional lender info
You may have seen this section of the main quoting page — here, you can adjust settings like the min/max size of the loan, whitelisting authority, etc.
This functionality is not currently accessible through the UI but will be rolled out soon.
For larger lenders that are interested in accessing the protocol programmatically (fully v2 functionality available), please feel free to reach out to the team on Discord for more info. We’ll also be sharing a full guide on programmatic access soon — stay tuned.
Revolutionizing DeFi with MYSO v2
We’re proud to share that the MYSO v2 is now live! After countless hours of work and iteration, this beast is finally ready to be used by borrowers and lenders alike to earn yield, lever up, and capture alpha DeFi strategies.
If you have any additional questions about the user flow or would like to learn more, please feel free to reach out to the team on Discord.
We also welcome any and all projects building on MYSO to create their own bespoke market and secure a healthy yield while promoting additional utility to your native token.
We’re excited for you all to utilize Blitz Match on MYSO v2 and will have updates on the release of Whale Match as soon as possible.
Let’s go!
