⚡️ The credit protocol of the future — Mars!
Mars is the credit protocol of the future: non-custodial, open source, transparent, algorithmic and community driven.
Mars consists of three main components:
— The Red Bank, where users can lend and borrow assets (also known as collateralized lending);
— The Fields of Mars, where users can interact with applications based on The Red Bank, such as high-yield mining (also known as contract-based borrowing);
— The Martian Council, where users with $MARS (xMARS) can propose and vote on protocol changes.
Mars Protocol consists of various participants:
— Lenders: contribute assets to the Mars liquidity pools, earning an interest rate.
— Borrowers (with collateral): borrow assets from the Mars liquidity pools, using their contributed assets as collateral. Thus, these borrowers must also be depositors (lenders).
— Borrowers (contract-based): smart contracts that borrow assets from Mars liquidity pools without providing collateral. Each smart contract’s credit line must be approved by management and include a credit limit to mitigate protocol risk.
— Mars Board: stack on $MARS to receive protocol fees, participate in management, and cover certain types of protocol risk.
