Product
How it works
aare is a non-custodial lending protocol. Deposit collateral, borrow against it, repay when you choose. Everything happens on one chain — no bridge messages, no cross-chain oracles.
Supply collateral
Deposit supported L1 assets as collateral. Your position is recorded directly in the contract — no custodian, no wrapping, no bridge lock-up.
// Deposit collateral
deposit(uint256 amount, address onBehalfOf)
→ records position in the market contract
// Borrow against collateral
borrow(uint256 amount, address onBehalfOf)
→ single variable rate; no rateMode in v0 (spec §3.3)
Borrow
Borrow up to your collateral limit. Rates are determined by an on-chain
interest-rate model — a kink-style two-slope function of utilization —
not by an off-chain team (spec §3.3;
KinkInterestRateModel.sol feat/AAR-321-rate-model).
Liquidation
If your health factor falls below 1, any address can liquidate part of your position. Liquidation incentives are set in the contract; there are no privileged liquidators.
Read liquidation risk disclosure →// Liquidation check (spec §3.4, §5.1)
healthFactor =
Σᵢ(collateralValueᵢ × liquidationThresholdᵢ)
totalDebtValue
if healthFactor < 1 → liquidatable
LTV ≠ liquidationThreshold — LTV bounds max borrow; LT triggers liquidation
Ready to go deeper?
Read the technical spec, the risk disclosure, and the contract before depositing.