Problem

The Problem We Solve

Many crypto holders, particularly in Europe, view their assets as long-term investments. In some countries, for example Germany and Portugal, crypto asset gains are tax-free after holding for more than one year. They don't want to sell, which would trigger a taxable event and cause them to miss out on potential future appreciation. However, they often need cash for major life purchases like a down payment on a house, a car, or other significant expenses.

Their current options are very limited for real world spending:

1. Borrow from DeFi (Aave/Compound): Traditional DeFi lending has variable, often high-interest rates that can exceed standard consumer loans (which are ~4-7% in Europe). This makes borrowing for real-world expenses unpredictable and potentially expensive.

2. Borrow from TradFi (Consumer/Mortgage Loan): While rates can be lower (~3-5%), the process is slow, requires extensive paperwork, and doesn't recognize crypto as collateral.

3. Use other "Zero-Interest" Protocols: Services like Alchemix or Liquity are innovative but force borrowers to take out loans in a new, protocol-specific stablecoin (like alUSD or LUSD). These stablecoins lack the liquidity, trust, and direct off-ramps to be easily converted into Euros and used for real-life purchases.

The Idea: A Zero-Interest Loan Protocol

Our protocol is a decentralized lending platform where users can borrow real-world value against their crypto assets without paying any interest.

Borrowers deposit yield-generating collateral like Ethereum (ETH), Chainlink (LINK), or Liquid Staking Tokens (LSTs) and in return, can borrow established, fiat-backed stablecoins like EURC.

Instead of charging borrowers interest, the protocol puts their collateral to work in trusted, low risk yield strategies (staking on Lido, Ether.fi, RocketPool, Morpho, etc.). The entire yield generated from this collateral is used to pay interest to the lenders who provided the EURC.

Our Solution: A Bridge to Real-World Spending

Our protocol provides a direct solution by combining the best of all worlds:

• For Borrowers: Zero-Interest, No-Deadline Loans. Borrowers unlock liquidity from their assets without selling them. Since they pay no interest, they are not pressured by accumulating debt and can wait for the ideal time to repay, avoiding forced sales in a down market.

• For Lenders: High, Stable Yield on EUR. Lenders deposit EURC, a stablecoin with direct banking off-ramps. Because of the overcollateralization model (e.g., 66% LTV means every €100 borrowed is backed by over €150 of collateral), the yield generated on the larger collateral base translates into a higher-than-market-rate APY on the lent EURC. This creates a strong incentive to lend a stablecoin that typically has few high-yield opportunities in DeFi.

We solve the "last-mile" problem by using a trusted, liquid stablecoin (EURC), making the journey from crypto collateral to cash in a bank account seamless.

Key Features

1. Zero-Interest Borrowing: The core value proposition. Borrowers' debt does not grow over time.

2. Yield-Forwarding Mechanism: The protocol automatically deploys collateral into audited, blue-chip yield strategies. The harvested yield is then converted and paid directly to EURC lenders.

3. Fiat-Backed Stablecoin Focus (EURC): We use established, regulated stablecoins. This ensures immediate real-world utility, high liquidity, and straightforward on/off-ramping for users.

4. Spot Swap-Repay: An integrated feature allowing a borrower to instantly sell a portion of their underlying collateral on a DEX (like Uniswap). The proceeds automatically pay back the loan, and the remaining balance is returned to the borrower. This is a simple, one-click deleveraging and exit mechanism.

5. Automated Swap-Repay (Stop-Loss/Take-Profit): Borrowers can set predefined price points for their collateral. If the collateral's price hits a "stop-loss" (to prevent liquidation) or a "take-profit" level, a bot can execute the Swap-Repay function automatically. This empowers borrowers with advanced tools to manage their positions without constant monitoring.