Lending
What assets does the Borrower invest in?
Pursuant to the Master Loan Agreement, the Borrower is only permitted to invest proceeds in U.S. Treasury bills and reverse repurchase agreements fully collateralized by U.S. Treasury bills. U.S. Treasury bills are backed by the full faith of the US Government, and are considered one of the safest forms of debt around. For the avoidance of doubt, there are no other permitted uses of proceeds.
Is the APY fixed or variable?
The APY is variable and based on the current Secured Overnight Financing Rate (SOFR), less Maple Protocol Fees and Borrower Fees.
Are the fees fixed or variable? Fees are fixed at 50bps annualized. There are no upfront subscription fees, redemption fees, or any other additional "hidden fees" charged by the Pool. The Borrower bears its own expenses, including organizational expenses, custodial expenses, brokerage commissions, and any administrative, legal, accounting, tax, and auditing fees.
| Party | Fees | Source |
|---|---|---|
Maple Protocol Fees | 25bps for USDC Lenders | Charged as a portion of gross interest received by the Pool and collected on each payment date, in exchange for providing critical smart contracts infrastructure. |
Borrower Fees | 25bps for USDC Lenders | Charged as a fixed spread between the Interest Rate on borrowingsand the benchmark Secured Overnight Financing Rate (SOFR). |
Who is eligible to lend into the Pool? The Pool is permissioned and welcomes USDC Lenders who can verify Accredited Investor status and pass AML checks.
Lenders can begin onboarding here, it should take about 10-15 minutes to complete the forms. To pass AML checks, Lender wallet addresses will be scanned for risk factors using TRM Labs.
What’s the process to onboard?
Onboarding should take 10 minutes for an Accredited Investor to complete the forms and 15 minutes for an Accredited Entity. It’s a 3 step process that includes:
Completion of the 'Lender Onboarding Form' - This is Maple's standard onboarding form and takes on average 2 minutes to complete. Begin onboarding here.
Submitting KYC documentation - Standard documentation including proof of identity, address, income and entity. On average this takes 3 minutes for an Individual to complete and 9 minutes for an Entity.
Signing the 'Lender Attestation' - Whilst T&Cs need to be signed we have digitized and simplified the process and copy to be easily understood by all applicants.
Existing Lenders on Maple will only need to sign the Lender Attestation. Please contact your Account Manager to do so.
Is there a maximum deposit?
No. The minimum deposit size is $100,000 USDC.
How does APY vary by deposit amount or term length?
All Lenders receive the same APY regardless of deposit size. Fees are annualized and charged on an ongoing basis, so a Lender's net APY is not impacted by the length of its deposit.
How do I lend into the Pool?
Once onboarding is complete a Lenders wallet address will be approved. Lenders should return to the Pool, select 'Lend Funds', input the USDC amount and follow the transaction steps on screen.
What token do I receive to recognize my position in the pool?
The token for this Pool is called MPLcashUSDC. When you lend into a Maple Pool you are calling the "Deposit" function on the Pool smart contract. The function, when confirmed in your wallet, will accept the amount of pool assets you indicated in the UI to lend and in exchange assign to your wallet Pool LP (Liquidity Provider) Tokens.
How long does it take for deposits to start earning yield?
Interest on LP tokens starts accruing from the time of deposit.
Is the pool suitable for DAOs?
Yes. The pool welcomes DAOs that can verify Accredited Investor status and pass AML checks. In simple terms, a DAO will need to have a legal entity to pass KYC.
Maple and Room40 will support the development of DAO proposals and are committed to being active participants in the community approval process.
If this sounds like the cash management solution you’ve been looking for, begin onboarding or speak to the team.
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