Avalanche Ecosystem Markets

Decommissioned

Avalanche Ecosystem Markets are decommissioned. All assets in these markets have been paused and their collateral factors set to 0. The information below is retained for historical reference.

Avalanche Ecosystem Markets on BENQI provided a lending and borrowing environment separate from the Core Markets, specifically designed to support more exotic or volatile assets within the Avalanche ecosystem. By isolating these markets, BENQI allowed users to engage with a wider variety of assets while maintaining risk management and protecting the core protocol from potential liquidity risks.

Each isolated market operated independently, ensuring that risks from one market, such as volatility or liquidity issues, did not affect others or destabilize the Core Markets.

The screenshot below shows the markets as they appeared while active.

Key Features (historical)

• Supporting Long-Tail and Exotic Assets: Certain assets did not necessarily meet the liquidity or risk standards of BENQI's Core Markets. Avalanche Ecosystem Markets allowed developers to introduce new markets as they pleased.
• Collateralization and Interest Rate Models: Just like in Core Markets, configurations for isolated markets were proposed and managed by Chaos Labs. This included strict rules regarding collateralization ratios and interest rates, tailored for each individual asset to ensure optimal risk management.
• USDC Loans Only: Users could supply assets as collateral in an isolated market but could only borrow USDC. This prevented potential market manipulation or liquidity crunches that could hard ecosystem liquidity.
• Multi-Asset Repayments: Loans could be repaid with multiple ERC20 tokens, provided they had sufficient liquidity. This ensured users had greater flexibility when managing their loans.

As with the Core Markets, the configurations were proposed by Chaos Labs (the team behind BENQI).