More Features

ibToken

The term "ib" stands for 'interest-bearing,' representing a token where the interest earnings from KLEVA deposits continuously accumulate. Users receive ib tokens when depositing tokens, serving as proof of deposit. Each deposit pool corresponds to a specific form of ib token (e.g., receiving ibKLEVA when depositing KLEVA), and the value (exchange rate) of ib tokens varies due to different interest rates for each deposit pool. Although the exchange rate was initially 1:1 for each token and its corresponding ib token at the time of KLEVA's launch, the value of ib tokens increases over time due to accrued interest, leading to increase in the exchange rate.

For instance, if '1 ibKlay = 1.1 Klay,' depositing 110 Klay results in receiving 100 ibKlay. If the value of ibKlay continuously increases, reaching '1 ibKlay = 1.2 Klay,' returning 100 ibKlay would result in receiving 120 Klay, earning a total of 10 Klay as interest. Staking ib tokens allows users to acquire KLEVA tokens as rewards.

In the event of bad debt occurrences, the exchange rate may decrease. For detailed information, please refer to the Deposit & Staking page.

Auto Compounding

When participating in leverage Farming, profits are paid in the form of governance tokens from the related DEX. Additionally, KLEVA tokens are provided as compensation for the lending of assets in the KLEVA protocol. The protocol offers an Auto Compounding service that automatically converts governance tokens from Farming profits into collateral assets for reinvestment, maximizing user earnings.

AMM Swap

Leverage Farming occur by adjusting the values of two assets (A and B) in a 5:5 ratio. If the values of the two invested assets are not in a 5:5 ratio, the protocol automatically conducts a swap. Swaps take place through the related DEX, incurring swap fees from the DEX.

Stablecoin Swap Path Optimization

When initiating leverage Farming in pools consisting of stablecoins, the necessary swaps are conducted through KokonutSwap's 4Pool via the most efficient and low-fee path.

Guard system

To protect KLEVA users, the Guard System is implemented. The Guard System prevents transactions from proceeding when the expected quantity at the time of attempting transactions, such as the initiation and completion of leverage farming, differs by more than 10% from the actual executable quantity. In situations where significant impact on the target pool, such as large-scale swaps, can occur losses, known as Slippage. Without guard system, users could experience unforeseen substantial losses, and the Guard System operates to prevent it in advance.

Debt Token Management

When users lend assets, debt tokens are issued for the accurate management of the situation and stored in the Vault Contract. Subsequently, when the borrowed assets are repaid, the debt tokens are burned. These tokens are utilized solely for internal protocol management purposes, and they don't follow the exact format of typical ERC20 tokens. Their transactions can be verified through transaction histories for accurate and transparent management. The design ensures that only the designated Admin Contract, for the secure and accurate storage and calculation of borrowed assets, has access to burn these tokens, and all processes are automatically handled by sophisticated algorithms for user convenience.

User Asset Protection System

KLEVA's Vault Contracts, Debt Tokens, and KLEVA Token contracts feature a pause function for the protection of user assets. This function operates solely for the purpose of safeguarding user assets, and when triggered, related token transfers, issuances, burns, approvals are halted. It is a system that typically remains inactive but is activated only in exceptional circumstances where protections for user assets are deemed necessary.