Curated Vaults
Last updated
Last updated
RWAs are a long-tail game, where assets are significantly less liquid than their digital assets counterpart. As such, isolating risk and adjusting to each asset's characteristics is paramount in RWA lending.
That is why Mystic has taken the core infrastructure decision to build on top of . The core of Mystic is comprised of lending markets (Morpho markets), each a pool with solely a collateral asset and a borrow asset. This enables very specific risk management parameters to be set for each pair. Third-party risk curators can then create vaults which accept deposits of a single asset and dynamically allocate them to several markets based on predefined risk parameters and optimization strategies.
This not only makes for a simplified UX, it gives users institutional-grade risk management and transparency on the markets. Curated vaults have been built on top of . To know more, see .
Mystic leverages Morpho's infrastructure and takes it to the next level to best fit RWAs and their characteristics. All of Mystic's other features integrate directly with Morpho, meaning:
Each Morpho market on Mystic will have access rules according to the rules set in , enabling RWA vaults custom-fit for RWAs.
Each pair tied to isolated pools on Mystic can be leveraged via , enabling users to seamlessly leverage on these markets.
Each curated vault on Mystic may follow one of two structures: Morpho or structured. See how we take Morpho's architecture to the next level for RWAs with .