Permissioning

To support all asset classes whilst still making markets as permissionless as possible, Mystic has pools with three levels of access:

• Permissioned - all participants must KYC/KYB;

• Semi-permissioned - only borrowers and liquidators must KYC/KYB;

• Permissionless - no one needs to KYC/KYB.

This is done because financial assets often have specific ownership restrictions (e.g. US accredited investors only), which means certain controls are needed for them to be able to be used as collateral. We take those concerns into account, and make sure only participants that are in certain whitelists and respect certain criteria can hold an asset.

Much like Aave manages permissions via roles, so does Mystic. This process is described here. Mystic ties access to each market to these roles, which are attributed based on KYC/KYB information upon user registration.