Felix

Felix is an on-chain financial services provider offering a comprehensive platform for decentralized trading and lending. The platform provides access to spot equities trading, perpetual futures markets with leverage up to 40x, and variable-rate lending pools for multiple stablecoins and crypto assets. It bundles these financial products into a single venue for users seeking 24/7 access to DeFi trading and lending services.

Yield generation on Felix happens mainly through its Vanilla Markets lending products. These are lending pools where the interest rates can change over time. Users can supply assets like USDC, USDH, USDe, HYPE, and other supported tokens to earn yield.

The system works like a money market: lenders earn interest from borrowers, who pay interest on the loans they take. Interest rates are set dynamically by how much supply and demand there is in each lending pool.

Borrowers can get loans by depositing collateral. The maximum loan amount compared to the collateral's value (loan-to-value ratio) varies depending on what kind of collateral is used. For example:

• KHYPE/HYPE pairs allow up to 86% loan-to-value.
• HYPE/USDC pairs allow up to 77%.
• KHYPE/USDC pairs allow up to 62.5%.

Felix also has a CDP Market (feUSD), which stands for Collateralized Debt Position. Here, users can deposit collateral to mint feUSD stablecoins. These feUSD can then be swapped for other assets, allowing users to create leveraged positions.

The yield for lenders comes entirely from the interest paid by borrowers. Rates adjust automatically based on how much of the pool's funds are being used (pool utilization). The platform offers both standard and "Frontier" vaults, which have different risk settings and collateral options.