USDS Borrowing
Important information to know before using our protocol for borrowing.
Sable Finance offers interest-free loans and is more capital efficient than other borrowing platforms (i.e. less collateral is needed for the same loan).
Note: Sable Beta primarily focuses on borrowing USDS against BNB collateral, while Sable V2 is specifically designed for LSD-centric stablecoin borrowing. The following information will center around the use of ETH LSD as collateral.
Borrow USDS if you are bullish on ETH LSD
If you have some ETH LSD, and believe in their potential for growth, considering utilizing them for liquid funds through Sable Finance can be a wise decision. Sable Finance allows you to easily borrow USDS against your ETH LSD holdings by locking them up on our platform, withdraw the funds to access your ETH LSD liquidity, and repay the loan at a later time.
Users can also leverage their ETH LSD positions up to 11 times, amplifying their exposure to potential price changes.
(Please be aware that utilizing leverage can be a high-risk strategy, and we advise you to carefully consider your options before proceeding.)
Benefits of using Sable Finance
Zero interest borrowing
With Sable Finance, you can avoid the unpredictability of interest rates. Users will only be charged for (1) one-time borrowing fee and (2) redemption fees*. *Redemption fees will be adjusted by our algorithm, learn more in System Revenue & Fees.
Higher capital efficiency
Sable Finance requires less collateral for borrowing stablecoins, enabling users to borrow more with the same amount of collateral compared to other borrowing platforms, so that our users can make the most out of their ETH LSD.
3-Step to borrow USDS
Open a Trove
Deposit at least 100 USD worth of ETH LSD as collateral
Borrow USDS up to a collateral ratio of 110%. A minimum debt of 100 USDS is required.
Repayment schedules are not required on our platform, offering users the flexibility to leave their Trove open and repay their debt at any time, provided that a collateral ratio of at least 110% is maintained.
Key concepts to understand before utilizing Sable Finance
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