Step 1: Create an Offer for investors
Step 2: Activate and distribute the Maple SmartBonds
Step 3: Receive Dai and reinvest in DeFi lending platforms
Step 4: Redeem the collateral, repay Investors and keep the profit
Maple is building a crypto capital market. It lays groundwork for crypto banks by giving DeFi users access to bond funding fast at low cost.
Step 1: Create an Offer for investors
Step 2: Activate and distribute the Maple SmartBonds
Step 3: Receive Dai and reinvest in DeFi lending platforms
Step 4: Redeem the collateral, repay Investors and keep the profit
Step 1: Select an Offer to Invest in
Step 2: Bid on that Offer with Dai
Step 3: Receive interest-paying Maple SmartBonds
Step 4: Redeem the Maple SmartBonds for your Dai plus interest
Maple is a decentralised finance application which allows users to issue or invest in crypto bonds backed by crypto assets. Maple is the world’s first end to end crypto bond solution, designed to use revenue producing crypto assets instead of cash as security.
No. The Maple SmartBonds represent the crypto bonds sold by the Issuers and bought by Investors. The Maple SmartBonds are minted when an Issuer offers a new set of crypto bonds and burned when the Issuer repays the crypto bonds. Interest earned by Investors is paid in Dai when the crypto bonds mature. To participate all you need is Dai or cDai.
Maple’s MVP is integrated with Compound protocol. Maple accepts Compound cDai as collateral for issuing crypto bonds. Investors can buy the bonds using Dai stablecoin.
We plan to integrate the tokens of other DeFi lending protocols as collateral so that Issuers have options across multiple DeFi platforms and connect with the entire crypto capital market.
Maple is integrated with Compound so that anyone with a savings account on Compound can issue bonds through Maple. We do this by using cDai, which is Compound’s interest-bearing ERC20 token, as the collateral which secures crypto bonds issued with Maple.
If you lend on Compound, you receive cDai which earns interest. Using Maple, you can stake that cDai as collateral to secure crypto bonds which are sold to Investors.
Maple SmartBonds are ERC20 tokens which are collateralised by a basket of cDai held in a smart contract. All interest and fees on the platform are paid in Dai, there is no native token required to pay fees or costs on Maple.
When an Issuer wants to borrow they sell Maple SmartBonds to Investors. When it’s time to repay the Investors, the SmartBonds are burned in exchange for Dai.
Maple SmartBonds are collateralised by Compound’s cDai tokens. They have a collateral ratio of at least 100%.
Maple SmartBonds can have collateralisation ratios above 100% because they receive payment in order of their ranking. Grade 1 first, Grade 2 second and finally Equity Grade. Being repaid first means there is more collateral protecting your position.
Maple SmartBonds have a fixed term and liquidations are not enforced before the maturity date. Investors’ positions are protected by the structure of Maple SmartBond.
Interest rates on the Maple SmartBonds are set by Issuers when they create the Maple SmartBonds. As Maple is a decentralised platform, it allows market forces of supply and demand to balance interest rates.
Maple SmartBonds accrue interest from Activation until Maturity Date. Interest is paid in full to Investors at the Maturity Date. The smart contracts collect interest when the cDai collateral is withdrawn from Compound at the Maple SmartBond's Maturity Date.
When Maple SmartBonds mature, smart contracts redeem the cDai collateral on Compound and withdraw Dai to repay Investors. The Dai is repaid to Investors in order of ranking. Class 1 first, then Class 2. The Issuer always holds the Equity Class and is repaid last. The Equity Class keeps any remaining interest as profit.
No, whilst the product is in Beta testing, there are no fees charged for use of the platform. Longer term monetisation may be explored in future.