Market-making on margin.

20x leverage on Uniswap V3.

Unlock higher capital efficiency with Aloe's permissionless leverage.

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Leverage for every anon.

Aloe gives you a margin account that can interact with Uniswap V3. You get to manage positions and keep profits, but the protocol retains custody. This drastically reduces collateralization requirements. With up to 20x leverage, everyone can operate and hedge more efficiently.

Take a look behind the scenes.

We made this graph while designing the protocol. It illustrates the behavior of a margin account with a single Uniswap position. See for yourself how position bounds & liquidation thresholds impact collateral requirements and available leverage. If you zoom out enough, you can also see the payoff function of the position itself!

Hint: Click the wrench icon to unlock the viewport and enable panning/zooming.

Check out more cool features.

Permissionless asset listing via Uniswap V3 TWAP oracles

Dynamic interest rate models to minimize governance overhead and maximize capital efficiency

A new liquidation engine that accounts for implied volatility

Frequently asked questions

Do you charge any fees?

Nope! The core Aloe software lives on the Ethereum blockchain, and we (Aloe Labs) couldn't charge fees for it — even if we wanted to! However, Ethereum does charge transaction fees. These vary based on how many people are using the network. Optimism and Arbitrum often have lower fees, so we plan to publish our software there too.

Who can be a lender? Who can be a borrower? Who can be a liquidator?

Anyone! You don't need permission to use the core Aloe software. That said, certain features on our (Aloe Labs') web app may not be available in certain jurisdictions. Always check local regulations before dealing with magic internet money!

How do you make sure borrowers are solvent?

Every borrower has an Aloe smart wallet which holds their assets and keeps track of their liabilities (debt). As long as the value of assets > liabilities + wiggle room, the borrower is free to HODL, trade, or market-make with the funds in their smart wallet. However, if Aloe software detects that the wiggle room is shrinking too much, it seizes control of the smart wallet and allows other people (liquidators) to close out the borrower’s positions and repay lenders. Liquidators get a small reward for their trouble.

Ultimately there are no guarantees here, but since Ethereum is a public blockchain, you yourself could keep an eye on borrowers' activity and liquidate them if necessary.

Will I pay a fixed interest rate, or does it change over time?

Interest rates change over time, based on supply and demand. If many people lend and few borrow, interest rates will be low. If few people lend and many borrow, interest rates will be high.

How is Aloe different from other money markets like Compound and AAVE?

There are two big differences:

1. On other platforms, you're forced to deposit into one big pool containing 10+ cryptocurrencies. If even one asset fails, the entire pool suffers. Worse yet, they can add/remove assets from the group without your consent. Aloe solves this by letting you pick exactly which assets you trust, and it'll never override your decision.

2. When borrowers ask for money, other platforms give it to them outright. This sounds great, but it means that to borrow $50 of ETH, you'd have to post $100 of collateral. Sometimes useful, but kinda silly! Aloe solves this by giving borrowers smart wallets. If they do reckless things, Aloe can veto them. This means Aloe can safely give out much larger loans, opening up new use-cases like leveraged market-making.