General FAQ
More questions? Contact us through operations@arkis.xyz.
How can I become an Arkis client?
Arkis works with institutional lenders and borrowers who must go through KYC/AML. Please contact operations@arkis.xyz, and our team will get back to you. The onboarding process includes:
Client KYC / AML.
Arkis team will conduct a series of interviews with a client regarding:
Target APY (lend/borrow) and tokens.
Collateral assets, LTVs, and use-case of leverage (for Asset Managers).
Based on results from 2., Arkis will provide the link to the platform and corresponding list of Liquidity Pools which satisfy Lenders/Asset Manager's requirements.
Do Lenders face impermanent loss?
No, Lenders do not face impermanent loss with Arkis. Upon withdrawing your liquidity, you will receive the exact amount of tokens you deposited, plus any earned interest, providing a passive yield without the risk of impermanent loss.
How does Arkis enable undercollateralized leverage?
Through the use of smart contracts, Arkis locks traders' collateral and leverage received, limiting operations to only those whitelisted actions on approved protocols. This ensures that traders can't transfer funds out of the protocol without settling their loans and restricts their activities to those sanctioned within the smart contract.
Can I withdraw funds from Liquidity Pools at any time?
Withdrawal availability is contingent on the pool's Utilization Ratio. Funds can be withdrawn anytime if the ratio is below a certain threshold. If the Utilization Ratio does not satisfy the withdrawal condition, the Lender can still request withdrawal and receive funds + interest accrued back in 2 time.
Can I provide assets to pools on multiple blockchains?
Arkis architecture allows for the operation in multichain, allowing for asset provision on various chains. Currently, supported chains include Ethereum only. However, Arkis plans to launch on Arbitrum and Base by the end of 2024.
Is my collateral locked when borrowing through the Arkis Protocol?
No, the protocol permits collateral to be swapped for other tokens or used within liquidity pools on whitelisted protocols (such as Uniswap V2/V3, Curve, Convex, Lido, 1inch, etc.). The Arkis Margin Engine focuses on the portfolio's value in the borrowed asset, meaning collateral can be freely manipulated within the bounds of approved operations.
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