Interest Rate Synth

TL;DR

iGain - Interest Rate Synth (IRS) represents the second product in the iGain ecosystem. It is an interest rate derivative providing lenders and borrowers a platform to hedge against the risk of future changing interest rates. It empowers investors to lock future interest rates, by purchasing Long and Short tokens.

As a lender or borrower

You can buy Short tokens to lock future interest rates while borrowing on Aave. Similarly, investors can buy Long token to lock future interest rates while lending.

Besides, we provide a simplified interface for users to complete one-click fixed interest deposit so users don't need to deposit on Aave and then buy Short token on their own.

As a speculator / arbitrageur

You can get profits by longing or shorting interest rates based on your own prediction of the future figures. Also, as the expiry date is approaching, the arbitrage chance becomes greater.