After more than a year of research and development work, we're excited to release an overview of the Maple protocol. We've been blown away by the growing community engagement and we're excited that we can begin to share more details about Maple and our path to launch.
The Maple Ecosystem
Maple is a decentralized corporate credit market. Maple provides capital to institutional borrowers through globally accessible fixed-income yield opportunities.
For borrowers, Maple offers transparent and efficient financing done entirely on-chain
- Funds can leverage their reputation to borrow undercollateralized without constant fear of liquidation and margin calls
- Borrowers access pools of capital governed by smart contracts and liaise with Pool Delegates to confidentially complete loan assessments
For liquidity providers, Maple offers a sustainable yield source through professionally managed lending pools
- Diversified exposure across premium borrowers with staked MPL tokens providing reserve capital against loan defaults
- Set and forget solution with diligence outsourced to Pool Delegates
- Interest is accrued and reinvested to enable capital to compound over time
For Pool Delegates, Maple is a vehicle to attract funding and earn performance fees
- Maple is a new platform providing decentralised asset management infrastructure
- Globally accessible pools enable increased AUM from varied liquidity sources to be provided to networks of premium, credit worthy borrowers
The Maple Protocol
Liquidity Providers (LPs) deposit funds into a Liquidity Pool in order to fund loans and earn yield. In return, they receive an LP token representing their share of the pool.
Pool Delegates are responsible for managing each pool. They perform diligence and agree terms with Borrowers through smart contract technology. Pool Delegates are required to stake MPL tokens in their Pool to cover defaults, aligning their incentives with Liquidity Providers.
Borrowers request capital from the platform by creating a Loan Vault (which holds collateral and receives funding) and inputting requested loan terms. Once these terms are agreed with a Pool Delegate, Borrowers can withdraw the requested funds for a fixed term, at a fixed rate, and at a fixed collateralisation level.
Holders of the Maple Token (MPL) participate in the following ways:
- Passive MPL Holders earn a portion of establishment fees
- Savvy MPL Holders can earn additional yield by selecting Liquidity Pools to stake. Staking provides a reserve covering loan defaults in return for a share of the ongoing fees
- As Maple moves towards full decentralization, MPL Holders will be able to submit proposals and vote on changes such as adding Pool Delegates and adjusting fees and staking parameters
Maple will be live on Ethereum mainnet soon. The premiere launch pool capped at $15 million will fund an exclusive list of crypto's top funds and market makers as borrowers. Before launch, Maple will be undergoing security audits to ensure all borrowers, liquidity providers, and pool delegates can safely use the protocol. As the Maple community continues to grow, we will continue hosting bi-weekly community calls, publishing content on our blog, and staying active on Twitter and Discord.