Margin Account

Margin Accounts are the onchain smart contracts that serve as the central hub for all lending and trading activities within the Arkis ecosystem. They not only secure loans with collateral from Asset Managers but also function as an account abstraction for seamless interaction with DeFi protocols.

Key Features

• Onchain Transparency and Security

  • Margin Accounts are deployed as smart contracts>= .

  • Loans provided to Asset Managers are secured by collateral deposited into the Margin Account, protecting the liquidity pool’s capital.

• Account Abstraction for Trading

  • Margin Accounts act as a single point of access where Asset Managers can conduct multiple types of whitelisted operations, including:

    • DeFi trading

    • Yield farming

    • Hedging strategies

  • Asset Managers can use Wallet Connect to access their Margin Account via a native user interface.

• Whitelisting and Compliance

  • Only interactions with whitelisted protocols and within approved asset pools are permitted. This ensures that all operations conform to predefined risk profiles and liquidity parameters.

  • Margin Accounts hold both collateral and borrowed assets.

• Portfolio-Level Margining

  • Arkis Margin Engine continuously analyzes all assets across the Margin Account and applies portfolio margin calculations. This optimizes capital efficiency while maintaining robust risk controls across the entire portfolio.

• Undercollateralized for Asset Manager, Overcollateralized for Lender

  • As both collateral and borrowed assets stay within the Margin Account, for the Asset Manager, it is an undercollateralized loan (their buying power is bigger than the collateral value). At the same time, for the Lender, it is an overcollateralized loan as the total value of assets inside the controlled environment is bigger than the borrowed amount.