Assets Listings
Asset Listing Criteria
In a lending platform like ZeroLend, deposited collateral can be considered assets, as one can sell it to recover the loan amount. On the other hand, borrowed amounts are liabilities, as it is an obligation to repay the lender. Asset and liability tokens often differ, with borrowed tokens typically in stablecoins and collateral tokens being volatile.
Conducting a thorough analysis before listing a token on ZeroLend is important to reduce market risks.
ZeroLend considers a comprehensive set of criteria to evaluate the suitability of adding an asset to the lending pool, like:
Evaluating the liquidity of the asset to ensure sufficient market depth.
Conducting a thorough security audit to identify potential risks associated with the token's smart contract.
Determining the appropriate collateralization ratio for the token to balance risk and ensure the safety of the lending pool.
Supporting assets with the best risk profiles as collateral.
Assets with oracles that can be easily manipulated are listed as single-borrow assets.
Examining the level of community support and engagement for the token.
New, volatile assets with lower liquidity are considered for listing in Isolation mode to enable supplying/borrowing for such assets.
Asset Types and Roles
Collateral Assets
Assets deposited as loan security:
Generally more volatile (e.g., ETH, BTC)
Must have reliable price feeds
Requires sufficient market liquidity
Borrowable Assets
Assets available for borrowing:
Typically stablecoins and major cryptocurrencies
Must have deep liquidity
Requires stable price discovery
Key Evaluation Criteria
1. Market Liquidity
Minimum daily trading volume requirements
Multiple active trading pairs
Adequate market depth
Consistent trading activity
2. Security
Smart contract audit reports
Production history
Security incident record
Open-source verification
3. Risk Parameters
Loan-to-Value (LTV) ratio
Liquidation threshold
Liquidation penalty
Market size caps
4. Oracle Infrastructure
Multiple independent price feeds
Update frequency
Manipulation resistance
Backup price sources
5. Community Metrics
Active user base
Developer activity
Team transparency
Token distribution
Listing Categories
Standard Listing
Full functionality enabled
Multiple collateral pairs
Standard risk parameters
Isolation Mode
For newer or volatile assets:
Limited borrowing pairs
Restricted collateral usage
Enhanced monitoring
Single-Borrow Assets
For oracle-sensitive assets:
One borrowable asset at a time
Stricter liquidation parameters
Enhanced security measures
Risk Mitigation
Regular parameter reviews
Market cap limits
Borrowing caps
Emergency suspension procedures
Governance
Community proposal review
Technical assessment
Risk evaluation
Implementation timeline
Assets must meet these criteria to ensure protocol safety and user protection. Parameters are regularly reviewed and adjusted based on market conditions.
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