Introducing Fixed Rate Lending on Port Finance

Published in

Port Finance

3 min readDec 15, 2021

Following our previous article here, it has been an open secret as to what the Port has been up to. Today, we are thrilled to announce that a new ship has docked at the Port, and we are more than excited to share about the launch of our Fixed Rate Lending Products:

Sundial

Port Finance’s Fixed Interest Rate Product is named after the instrument that sailors had used to accurately determine the time — Sundial, and is part of the suite of interest rate products that Port Finance had envisioned to bring to dock.

Security has and will always be Port Finance’s top priority. Sundial has completed smart contract audits and we are bringing it live through an exclusive launch on Solana Mainnet as of writing.

March 2022 Expiry USDC Exclusive Launch

To manage complexity and build confidence among users, Sundial currently supports only a single asset, USDC. Users can deposit USDC for fixed rate lending today, and we look forward to integrating more assets!

Our Fixed Interest Rate Product, Sundial, introduces two types of tokens when lending: :

Principal Tokens: Representing 1:1 of the base asset upon expiry and;
Yield Tokens: Representing the variable yield gained underlying product over the lending duration

These 2 tokens, representing the principal value and variable interest rate, will be available for trading on secondary markets.

Principal tokens are redeemable for the underlying asset after the term period of the lending is over, and therefore, will naturally trade at the discount relative to the underlying asset.

Yield tokens are redeemable for the interest rate earned from depositing the underlying asset from the start to the end of the lending duration after the lending period. Therefore its price will be affected by the current variable interest rate.

The holders of the principal USDC tokens and yield USDC tokens will be able to redeem USDC on the 10th of March 2022.

The token mint for the March 2022 principal USDC tokens is: 6cKnRJskSTonD6kZiWt2Fy3NB6ZND6CbgA3vHiZ1kHEU

The token mint for the March 2022 yield USDC token is: B64haiHLQoWdrvcJqufRG5dEMms96rDpwuaTjYTihQEo

How to Get Fixed Rate for your USDC deposit

Head over to https://mainnet.port.finance/#/fixedRate
Connect your wallet.
Make sure you have USDC in your wallet for lending it out.
Check the current market lending rate is acceptable with your goal
Input the amount that you’re willing to lend and click “LEND”
Redeem the principal tokens obtained at maturity

How to Provide Liquidity for Fixed Rate Lending

Head over to https://mainnet.port.finance/#/mint
Connect your wallet.
Make sure you have USDC in your wallet for lending it out.
Check that you’re ok with minting principal tokens and yield tokens and redeem at maturity date
Input the amount that you’re willing to mint
Go to Atrix and provide liquidity:
Principal USDC and USDC pool: https://app.atrix.finance/#/pools/FTpUANmJpJ29qAxr7DqDjKfUW3Expwod1V75DA5Z7huQ/deposit
Yield USDC and USDC pool: https://app.atrix.finance/#/pools/2rELNvYhrbPiYDVCZoPfAYzhoao1E4X31DrbWmpxXXeG/deposit

Extending the Bug Bounty Program to Sundial

Beginning today, the existing Port Finance Bug Bounty will also extend to Sundial to promote responsible bug disclosure. The Bug Bounty program rewards will continue to adopt its initial structure, with bugs ranging from critical to low severity. The Bug Bounty program will pay out rewards according to the severity of the vulnerability reported. Terms and conditions apply, please refer here for more information about the Port Finance Bug Bounty Program.

Documentation

To understand more about fixed rate lending read our documentation here.