Thread by @kairosloan

Earn #ETH on #Kairos 🦅

See how APR's are set on #NFT collections by our NFT-Lending Platform:

❇️ Curious about how #APR will be decided?

Join us in exploring the process and rationale behind it.

The APR on NFT collections will initially be set by the Kairos team based on the current market.

#APR will be decided in tranches:
- 10%, 20%, 40% and 80% per year

Example ⬇️

Low volatility + High trust (BAYC or CryptoPunks)
• 10%, 20% per year

High volatility + Low trust (CryptoDickButts)
• 40%, 80% per year

Future #Kairos versions will have APR set by LPs and they will compete on it.

❇️ Why fix APR?

Initially, it is to make the system more efficient and fix one of the three variables
• APR
• LTV
• duration

LPs will compete on LTV + duration first.

This will help us fix and monitor bugs during #Testnet

Grind for #Kairos WL here👇 crew3.xyz/c/kairos/quest…

Curious about LTV?

→ It's important for both lenders and suppliers!

We wrote a thread on it ↓

Real example ⬇️

You have a CryptoPunk worth 60 $ETH
• APR is 10%

A lender offers 0.6 LTV for 6 months
• You accept the 36 $ETH loan

Lender makes 1.8 $ETH over 6 months

The APR is based on the token used for the loan (such as #ETH or a #stablecoin)

and will eventually be incentivized with our own token. 👀

🟢 Setting APR on NFT collections is a dynamic process that takes into consideration the current market and the competition between LPs.

NOTE: For #Testnet we'll have fixed 40% APR across all collections

We're launching #Testnet for our NFT-Lending platform tomorrow 👀

#Crew3 WL winners will be announced soon

Stay tuned for updates on tomorrow launch and other cool news from @kairosloan 🦅