Teller V2: Borrow against any token in your wallet

Leverage any crypto asset as collateral, with time based liquidation. Fixed APR, Flexible durations.
Leverage any crypto asset as collateral, with time based liquidation. Fixed APR, Flexible durations.

Discover Teller Protocol, a groundbreaking DeFi platform that enables users to lend, borrow, and build an on-chain credit history on a non-custodial lending book with customizable loan terms and extensive collateral options.

Table of Contents

  1. Introducing Teller: A New Era in DeFi Lending
  2. Why Choose Teller?
  3. How Teller Compares to Traditional DeFi Money Markets
  4. Earning Yield with Teller
  5. Borrowing Made Easy
  6. Understanding Loan Default on Teller
  7. On-chain Credit Score Providers
  8. Assessing Risks with Teller Protocol

Introducing Teller: A New Era in DeFi Lending

Teller is a non-custodial lending book that enables users to:

  • Lend at above-market rates with a fixed duration
  • Borrow against any ERC20 (token) or ERC721 / ERC1155 (NFT)
  • Build a history of on-chain credit through loan repayments and defaults

Teller is live on Ethereum and Polygon, making it accessible to a wide range of users.

Why Choose Teller?

Teller addresses the limitations of traditional DeFi money markets by:

  • Supporting any crypto asset as collateral
  • Eliminating auto liquidation risk for borrowers & introducing time-based liquidations
  • Providing on-chain credit insights for liquidity providers

This unique DeFi lending and borrowing approach makes Teller a game-changer in the space.

How Teller Compares to Traditional DeFi Money Markets

Teller offers advantages over traditional DeFi money markets, such as:

  • Value: Use any crypto asset as collateral instead of a limited selection of assets
  • Risk: Manage collateral price volatility risk for LPs instead of oracle manipulation risk
  • Underwriting: Evaluate collateral price volatility and on-chain credit/identity instead of relying on liquidation certainty
  • Default recourse: Seize collateral and negatively impact on-chain credit instead of price liquidation

Earning Yield with Teller

Liquidity providers can earn passive income by:

  • Directly lending to individual loan requests
  • Supplying liquidity to open "offers" with pre-set conditions
  • Liquidity providers can earn passive income by automatically supplying liquidity to borrowers who meet the pre-defined criteria set by the lender. Β  This streamlines the lending process and ensures a secure and efficient way to generate yield.

Borrowing Made Easy

Borrowers can leverage any crypto asset as collateral by:

  • Requesting a custom loan
  • Borrowing from open liquidity "offers" with pre-set conditions

Understanding Loan Default on Teller

A loan is considered in default when a borrower fails to pay a scheduled repayment after the due date and grace period. Default consequences include:

  • Collateral seizure
  • Negative impact on the borrower's on-chain credit score

On-chain Credit Score Providers

Teller loan data is integrated into several on-chain credit protocols, which also monitor users' lending and borrowing behaviour.

These protocols include:

Assessing Risks with Teller Protocol

Teller is not without risks:

  • Liquidity risk for lenders: The primary risk for liquidity providers is loan repayment. Providers must account for the probability of loan repayment (and/or collateral price stability) based on the loan collateral (both type and amount) and the borrower's on-chain credit and identity.
  • Borrowing risk: The primary risk for borrowers is default recourse. On default, collateral assets can be seized by a liquidator, regardless of asset type and amount. In addition, the wallet's on-chain credit score can be negatively impacted, which is public throughout the DeFi ecosystem.

πŸ“ƒ Teller V2 Docs – https://teller.gitbook.io/teller-lite/
πŸ”’Github – https://github.com/teller-protocol
πŸ‘Ύ Discord – https://discord.com/invite/teller
🐦 Twitter – https://twitter.com/useteller
πŸ–₯️ Teller App – https://alpha.lite.app.teller.org/