The borrower flow
IRIS is built so borrowers can ask for fixed terms without running the floating-rate venue position themselves.1
Set your loan terms
Define the loan you want: collateral asset and amount, borrow asset and amount, duration, the highest fixed rate you will accept, and optionally which venues you are willing to allow.
2
Receive a quote
A solver reviews the request and returns signed terms: the fixed rate, the maturity, the overdue rate and grace period that apply if you repay late, and the venue it will start on. Quotes are short-lived, so expect to act within about two minutes.
3
Settle onchain
If the quote looks right, you execute the settlement transaction. Settlement is atomic: your position opens, collateral is posted, the underlying venue borrow is established, and the borrowed funds are delivered, all in one flow.
4
Manage the position
Once the loan is live, you monitor health, add collateral if needed, and repay when you choose or when the loan matures. Behind you, the solver manages the floating-rate exposure within the venues you allowed.
What usually happens next
Under normal conditions the solver’s bond stays in the background and your experience is simply that of a fixed-rate loan sitting on a venue position. Two risks still reach you, and they are different situations:- Your collateral can be liquidated by the underlying venue if your health factor deteriorates. See Venue liquidations.
- In a severe stress case, the solver’s bond can be liquidated and the loan falls back to the venue’s floating rate. See What backs your fixed rate.