# Welcome in Root Finance Plant, Harvest, Grow. ## Overview Root is a decentralized Lending & Borrowing protocol operating on the Radix DLT, where lenders and borrowers interact within an overcollateralized market environment. \ It's a non-custodial liquidity protocol enabling users to participate either as depositors or borrowers. \ \ Depositors can earn passive income by providing liquidity to the market, whereas borrowers can obtain funds in an overcollateralized manner.
# The Root Mission Root Finance is a user-centric platform created to give to the Radix community a simple yet complete Lending & Borrowing Dapp to enhance their capital strategies. The Root team has been in the Radix Ecosystem since the beginnig and we are big believer in the innovative landscape that Radix offers.
# Why Radix? Radix is a DLT known for its technical performance in scalability, security, transaction speed, and low costs, which are ideal for the operation of a Dapp like Root Finance. The Babylon update has strengthened Radix's reputation in innovation, making it a suitable platform for managing a high volume of transactions, essential for the success of DeFi applications. \ \ Our commitment as pioneers and partner of Radix, since the ICO, demonstrates confidence in the project and places us in a favorable position to influence the development of Root Finance, leveraging our market knowledge and role in the ecosystem.
# Security Root Finance is a decentralized, non-custodial application designed with a strong emphasis on security and transparency. The platform has undergone rigorous audits conducted by reputable third-party firms to ensure the integrity and safety of the system. Our team of developers has meticulously crafted the protocol, adhering to best practices in the blockchain industry. Your assets are secured within immutable smart contracts, eliminating the need for intermediaries or custodial control. These smart contracts are entirely open-source and publicly available, allowing anyone to review the code and verify its security. This openness aligns with the ethos of decentralization: **DON'T TRUST, VERIFY**. By making the code accessible, we empower the community to independently assess the platform’s robustness and reliability, reinforcing trust through transparency.
{% file src="/files/ZYdcHmZPOxO3uDLOhewQ" %} # How users can operate on Root Root Finance is specifically designed to fulfill users' needs in Radix's DeFi, such as leveraging their positions, hedging, or building a tailor-made strategy. # Get started with Radix DeFi If it is your first time on Radix be sure to have installed the Radix Wallet mobile Application [The Radix Wallet | iOS & Android (radixdlt.com)](https://www.radixdlt.com/wallet) and have some $XRD to pay the networks fees.
# Bridging on Radix While waiting for the integration of the Radix network with Stargate and LayerZero, these are the live methods for bringing liquidity into the Radix ecosystem: * [Instabridge (Official Radix Bridge, Instapass required)](https://www.instabridge.io/#moving-assets) * [RocketX](https://app.rocketx.exchange/swap/ETHEREUM.ethereum/RADIX.radix/1?from=Ethereum\&to=Radix) * [LetsExchange](https://letsexchange.io/it) Otherwise you can use the crosschain swap platform # Supply (Lend) On Root Finance, users can supply their assets to become liquidity providers and earn interest. When you supply assets, you're essentially lending them to a smart contract, which uses the liquidity to facilitate borrowing within the market. These funds are then made available to borrowers, creating a dynamic and active market for both sides. The protocol aggregates each user’s supply into a common liquidity pool governed by smart contracts, making the assets fungible and readily accessible for lending. In return, liquidity providers receive a **Root Receipt**, which represents their claim on the supplied assets and any accumulated interest over time. The value of this receipt grows proportionally to the interest earned, which is determined by the supply and demand dynamics within the market. **ASSETS AVAILABLE FOR SUPPLY** * WBTC * ETH * XRD * USDC * USDT * HUG * LSULP * WOWO * EARLY **Important Consideration**: When you supply liquidity, keep in mind that your assets are actively being used to facilitate loans in the market. This means that, during periods of high demand, it might be temporarily difficult to withdraw your entire balance immediately. However, this is completely normal in a lending system, and the protocol manages this through an interest mechanism that encourages loan repayments and keeps liquidity flowing. In essence, the system self-regulates to ensure that funds become available as loans are repaid.
# Borrow Root Finance provides a streamlined and transparent process for leveraging assets as collateral to borrow supported cryptocurrencies, offering a strategic approach to accessing liquidity without selling investments. Here’s how it works: 1. **Supply Assets**: Deposit assets into Root Finance that you wish to use as collateral. 2. **Loan-to-Value (LTV) Ratios**: Each asset comes with a specific LTV ratio, determining the maximum amount you can borrow against it. Your overall borrowing capacity is the average of the LTV ratios of the assets you’ve used as collateral, based on their respective values. 3. **Borrowing**: With your collateral set and borrowing limit defined, you can choose to take out a loan in any of the supported cryptocurrencies up to this limit. 4. **Risk Management**: It’s essential to monitor the market value of your collateral and the amount borrowed to maintain a healthy financial position and avoid liquidation. **ASSETS AVAILABLE FOR BORROW** * WBTC * ETH * XRD * USDC * USDT * LSULP
# Repay Your Borrow on Root With the "Repay" feature on Root Finance, you can return borrowed funds at any time, helping you manage your debt and reduce your loan-to-value (LTV) ratio. Here's how it works: 1. **Repay Anytime**: You can repay your borrowed funds whenever it suits you, making debt management easier. 2. **Lower Your LTV**: Repaying your loan lowers your LTV ratio, which is key to avoiding liquidation. 3. **Flexible Repayment Options**: Choose between partial or full repayment, giving you control over your LTV and debt levels. 4. **Withdraw Collateral**: As you repay your loan and your LTV decreases, you’ll be able to withdraw a portion of your collateral. Once you’ve fully repaid your debt, you can withdraw the total amount of your collateral. 5. **Stay Proactive**: Keep an eye on your LTV ratio and repay when necessary to stay ahead of potential liquidation. 6. **Save on Interest**: Repaying promptly helps you minimize interest accumulation, allowing you to stay in control of your financial position and practice better debt management. # Liquidations Liquidations occur when an account's collateral value decreases or the borrowed amount increases in value relative to the collateral. They take place whenever the loan-to-value (LTV) ratio meets or exceeds the current liquidation threshold. **Why do liquidations happen?** They are necessary to keep the protocol solvent and healthy, allowing Root Finance to mitigate uncollectible debts by settling loans exceeding the required collateral factor. Differences between current **LTV Ratio**, **MAX LTV**, and **Liquidation Threshold:** * Current **LTV Ratio**: Calculated by dividing the total borrowed amount by the total collateral in USD. `LTV Ratio = Loan value / Collateral value ∗ 100` * **MAX LTV**: Determines the maximum amount you can borrow based on your collateral in USD. * **Liquidation Threshold**: The LTV Ratio at which your position is flagged for liquidation. To prevent this, maintain your current LTV Ratio below the threshold by repaying loans or adding more collateral. On Root the Liquidation Threshold is the Maximum LTV + 5%. **if LTV Ratio ≥ Liquidation Threshold** the position will be liquidated **if LTV Ratio < Liquidation Threshold** the position is safe, no liquidation will occur What happens during a liquidation? During a liquidation, the LIQUIDATION mechanism intervenes to restore the loan to a healthy level, allowing liquidation of up to 40% of the **Loan Value**. `Liquidation Value = 0, 40 ∗ Loan Value` The liquidator receives an incentive, which is deducted from the amount borrowed by the user being liquidated. The liquidation amount is calculated based on the current market price, with an additional 8% liquidation fee. `Liquidation Bonus = 0, 08 ∗ Liquidation Value`
**KEY CONSIDERATIONS FOR THE LIQUIDATION MECHANISM** ⚠️ * The liquidation bot leverages on-chain liquidity from decentralized exchanges (DEXs). It’s important to note that when repaying debt, the swaps between the assets involved may experience slippage or price impact, especially if the liquidation size is significant and the liquidity of the liquidity pool (LP) is insufficient. * In the event of slippage or price impact during liquidation, the actual outcome of the swap will be applied to the borrower’s debt. For example, if a liquidation experiences a 2% price impact due to low liquidity, the debt reduction will not be the full 40%, but rather 38%. **As such, the liquidation outcome is never guaranteed, meaning users should be cautious about allowing their positions to reach liquidation levels.** * Overall, the effectiveness of the liquidation bot is directly influenced by the available market liquidity on Radix. Therefore, keeping a close watch on your position and the overall ecosystem liquidity is strongly recommended. # Your Position Summary **Net APY**\ \ **Net APY** represents the net return from your **supply** and **borrow** positions on Root Finance. It is calculated as the **weighted average** of the APY (Annual Percentage Yield) from your supply positions, minus the weighted average of the APY from your borrow positions. This value gives you a complete picture of how your overall position is performing. If you want to check the individual returns on each of your positions, you can look directly below in the **Your Supplies** and **Your Borrows** sections. **Formula for calculating Net APY:** ***Net APY = (Sum of (Supply Balance \* Supply APY) / Total Supplies) - (Sum of (Borrow Balance \* Borrow APY) / Total Supplies)*** * **Supply Balance**: The balance of each asset you have deposited. * **Supply APY**: The interest rate for each asset you have deposited. * **Borrow Balance**: The balance of each asset you have borrowed. * **Borrow APY**: The interest rate for each asset you have borrowed. * **Total Supplies**: The total amount of all the assets you have deposited. * **Total Borrows**: The total amount of all the assets you have borrowed. *** #### **Your Tot Supplies** **Your Tot Supplies** represents the total value of the assets you have deposited into the protocol. This amount reflects how much capital you have supplied, not the returns you have earned. *** #### **Your Tot Borrows** **Your Tot Borrows** represents the total value of the assets you have borrowed from the protocol. This amount reflects how much capital you have borrowed, not the cost of borrowing. *** # Health Bar The Root Finance Health Bar is an innovative tool that provides a graphic summary of a user's lending and borrowing position, helping them intuitively manage their strategies. \ *Remember: **Once you start seeing red, it's time to add collateral or pay back!***** ****; )** **HOW TO INTERPRET THE HEALTH BAR** First of all, it’s important to note that the Root Health Bar is a visual tool and should not be solely relied upon to manage or analyze your lending and borrowing position. There are 3 key aspects to understand in order to read the Health Bar correctly: 1. **Borrow Power Used**: This indicates how much of your borrowing capacity is available, considering your lending and borrowing position, and is displayed as a percentage. The more loans you take against your collateral, the more Borrow Power you will use. You can borrow up to 100% of your Borrow Power, which means you have reached your Borrow Limit. 2. **Your Borrow Limit**: This is the maximum amount in USD that you can borrow against your collateral. Once you reach this limit, you can no longer open new borrowing positions. 3. **Liquidation Threshold**: This parameter indicates the point at which you are at risk of liquidation. If your Borrow Power exceeds 100%, you can no longer take out loans, but you are not immediately liquidated. Instead, there is a **buffer** before reaching the liquidation point. This buffer, or liquidation threshold, varies depending on the assets used as collateral.\
**SCENARIOS**\ \ \ **HEALTHY POSITION**** ** ** ****ALMOST LIQUIDATED**
### **How to Calculate Your Liquidation Threshold and Borrow Limit** To better understand the Health Bar, it’s essential to know how to calculate two crucial values: your **Liquidation Threshold** and your **Borrow Limit**. Both depend on the Loan-to-Value (LTV) ratios of the assets you've supplied as collateral. #### **1. Calculating Your Liquidation Threshold** The **Liquidation Threshold** indicates the percentage at which you risk liquidation, and it is always slightly higher than your **Borrow Power Used**. The buffer that separates the **Borrow Power** from the **Liquidation Threshold** is usually **5%** more than the maximum LTV of your collateral assets. For example, if an asset has an LTV of **60%**, the Liquidation Threshold will be **65%**. The formula to calculate the overall **Liquidation Threshold** across multiple assets is:\ \ ***Liquidation Threshold = (Sum of (Asset Value\_i \* (LTV\_i + 0.05))) / (Sum of (Asset Value\_i \* LTV\_i))***\ \ Where: * **Asset Value\_i** = the value of each asset in USD. * **LTV\_i** = the Loan-to-Value of each asset. **Example Calculation**: * **HUG**: With an LTV of 25% and a Liquidation Threshold of 30%, the Liquidation Threshold on the Health Bar will be 120**%**. #### **2. Calculating Your Borrow Limit** Your **Borrow Limit** represents the maximum amount you can borrow based on the value of the assets you’ve supplied as collateral. The **Borrow Limit** is calculated using the weighted average of the LTV of your supplied assets:\ \ ***Borrow Limit = Sum of (Asset Value\_i \* LTV\_i) / Total Asset Value*** Where: * **Asset Value\_i** = the value of each asset in USD. * **LTV\_i** = the Loan-to-Value of each asset. * **Total Asset Value** = the total value of all supplied collateral. Once you reach **100% Borrow Power**, you have reached your Borrow Limit, meaning no further borrowing is allowed unless additional collateral is supplied. The bar will begin to show red as you approach this limit. # Why Interest rates? The Root Finance interest rate mechanism is fine-tuned to balance liquidity risk and maximize utilization. The lending interest rates are influenced by the Utilization Rate **U**. The Utilization Rate **U** serves as a barometer for the pool's capital availability. This interest rate scheme mitigates liquidity risk within the protocol by incentivizing users to maintain liquidity: * In conditions where capital is plentiful: low interest rates are set to promote lending activities. * In situations where capital is limited: elevated interest rates are imposed to stimulate debt repayments and incentivize additional capital deposits. # Interest rate model of Root Finance Liquidity risk becomes a pressing issue as the utilization rate escalates, particularly as it approaches the upper limit of 100%. To customize the model for this particularity, the interest rate curve is segmented into two phases centered around an optimal utilization rate, Uoptimal . Prior to reaching Uoptimal the curve’s ascent is gradual; however, beyond this point, it increases significantly. $$if U <= Uoptimal: Bt = (Ut/ Uoptimal) Rslope1$$ $$if U > Bt = Rslope1 + (Ut −Uoptimal) /(1−Uoptimal) Rslope2$$ **DEPOSIT RATE** $$Dt = Ut ∗ Rt ∗ (1 − Rf )$$ **Legend:** Utilization = U Optimal Utilization = Uoptimal Rate Slope 1 = Rslope1 Rate Slope 2 = Rslope2 Borrow Rate= Bt Deposit Rate = Dt Utilisation Rate = Ut Borrow Rate = Bt Reserve Factor = Rf # Money Market Parameters To preserve the safety and optimization of the protocol, Root Finance has the following maximum Loan to Value and Liquidation Thresholds. | Token | MAX LTV | Liquidation Threshold (LTV) | | ----- | ------- | --------------------------- | | xWBTC | 70% | 75% | | xETH | 70% | 75% | | XRD | 60% | 65% | | xUSDC | 75% | 80% | | xUSDT | 70% | 75% | | HUG | 35% | 40% | | LSULP | 60% | 65% | | WOWO | 20% | 25% | | EARLY | 25% | 30% | {% hint style="info" %} Collateral factors, and/or reserve factors, may be adjusted from time to time, depending on factors such as the liquidity for a particular asset. {% endhint %} # Rules *** Root Points are an incentive system designed to reward users for interacting with the Root Finance platform. By completing specific tasks and engaging with the protocol, users can accumulate points that can be redeemed for future benefits. Below is a detailed guide on how to earn Root Points, the associated bonuses, and the relevant rules. ### How to Earn Root Points Root Points can be earned by completing specific quests and by lending or borrowing assets on the Root Finance platform. For every **$100 worth of assets supplied or borrowed**, you will automatically accumulate Root Points every 24 hours, based on the bonuses outlined below. Remember: ***Snapshots of user positions are taken at random times throughout the 24-hour period** to verify user engagement. Ensure your assets remain in place during this period to maximize your point earnings.* #### Quests Overview Here are the current available quests you can complete to start earning **Root Points**: 1. **Follow us on X (+10 Root Points)**\ Stay connected with the latest updates by following Root Finance on X. Completing this quest will reward you with an instant bonus of **+10 Root Points**. 2. **Join our Telegram (+10 Root Point)**\ By joining our Telegram community, you will earn **+10 Root Point** every day. This quest rewards you continuously as long as you remain part of our growing community. 3. **Deposit at least $200 USD worth of Assets (Daily Root Points)**\ Deposit assets worth at least $200 to start earning **Root Points** every 24 hours. The amount of points will scale with the value of assets deposited. 4. **Borrow at least $100 USD worth of Assets (Daily Root Points)**\ Borrow assets worth at least $100 to accumulate **Root Points** every 24 hours. Similar to the deposit quest, the amount of points you earn will increase based on the value borrowed. 5. **Refer a Friend (+10% Referral Bonus)**\ Invite a friend to join Root Finance and earn an additional **10%** of the Root Points they accumulate every 24 hours. Both you and your referred friend will benefit from this bonus. *** ### Points Rules The more you interact with Root Finance, the more points you will earn, and the more rewards you can unlock. Here is a detailed guide on how the points are calculated based on your actions: #### Supply Bonus For every **$100 worth of assets supplied**, you will earn the following points: * For every **$100** worth of XRD, WBTC, ETH and LSU, you earn **1 Root Point** every 24 hours. * For every **$100** worth of USDC, USDT, WOWO and EARLY you earn **2 Root Points** every 24 hours. * For every **$100** worth of HUG, you earn **3 Root Points** every 24 hours. *Example: If you deposit $1000 worth of HUG, you will earn 30 Root Points every 24 hours.* #### Borrow Bonus For every **$100 worth of assets borrowed**, you will earn the following points: * For every **$100** worth of USDC, USDT, XRD, WBTC, ETH and LSU , you earn **3 Root Points** every 24 hours. *Example: If you borrow $1000 worth of USDC, you will earn 30 Root Points every 24 hours.* #### Referral Bonus Invite your friends to join Root Finance and earn an extra **10%** of the Root Points they accumulate every 24 hours. The more friends you refer, the more points you can earn! *Example: If your friend earns 100 Root Points every 24 hours, you will earn an additional 10 Root Points every 24 hours.* *** ### Root Receipt and Points Verification Root Points are directly tied to the **Root Receipt**, an NFT that represents your participation in Root Finance. Holding the Root Receipt means you **own your Root Points** and retain the right to claim any rewards associated with them. ⚠️ **Important:** * If you lose your Root Receipt or accidentally transfer it to someone else, you will **immediately forfeit all your Root Points and the associated rewards**. * Treat your Root Receipt with the utmost care, just as you would with any other valuable digital asset. **Points are verified through regular snapshots** of users' positions, which are taken at random intervals throughout the 24-hour period. To ensure eligibility for the points you’ve earned, your assets must remain in place during this period. If your balance changes or falls below the required threshold during the snapshot, your points for that day may be affected.\ To maximize your Root Points accumulation: 1. Keep your assets or loans active. 2. Ensure continuous engagement with the platform. *** ### Leaderboard Track your progress and see how you rank against other users! The **Leaderboard** will display the top wallets based on their Root Points, giving you a clear view of your standing within the community. *** Root Points are a fun and rewarding way to engage with Root Finance, so get started today and watch your rewards grow! ***
# Terms of Use Last updated: 09/19/2024 1\. Introduction\ These Terms of Use ("Terms") govern your use of Root Finance, a decentralized, non-custodial lending and borrowing platform built on the Radix DLT. By accessing or using Root Finance, you agree to these Terms. If you do not agree with any part of these Terms, you should immediately cease using the platform. 2\. Services\ Root Finance provides a decentralized, non-custodial protocol for lending and borrowing digital assets on the Radix Distributed Ledger Technology (DLT). The platform is accessible via a non-custodial interface, and all interactions occur directly between users and the smart contracts deployed on the Radix DLT. Root Finance does not control or hold any funds on behalf of users. 3\. No Financial Services or Advice\ Root Finance does not oRer any form of financial services, including brokerage, exchange, investment advice, or asset custody. The platform is purely technical and provides the interface for users to interact with smart contracts. All users are solely responsible for their financial decisions. Root Finance does not provide financial, investment, tax, or legal advice. Any information presented on the platform should not be construed as financial advice. 4\. Non-Custodial Nature\ Root Finance is a fully non-custodial platform. This means that at no point does Root Finance have control or custody over users' assets. Users interact directly with smart contracts via their own digital wallets, and they are solely responsible for the security of their wallet credentials (e.g., private keys, seed phrases). If you lose access to your wallet, Root Finance cannot assist in recovering your funds. 5\. Third-Party Services\ Root Finance may integrate services provided by third-party providers, such as decentralized exchanges, oracles, and analytics tools. While these services are oRered to enhance the platform's functionality, Root Finance does not control or assume responsibility for their performance. By using these services, you agree to their respective terms and conditions. Root Finance is not liable for any issues or losses arising from the use of third-party services. 6\. Acknowledgment of Risk\ By using Root Finance, you acknowledge and accept the following risks: \- Smart Contract Risks: Root Finance is powered by smart contracts, which operate autonomously on the Radix DLT. These contracts may contain vulnerabilities or bugs, and Root Finance is not responsible for any losses that may occur as a result of errors in the smart contracts.\ \- Market Volatility: The value of digital assets can be highly volatile, and participating in lending or borrowing activities may result in significant financial loss. Root Finance makes no guarantees regarding the stability or future value of any digital assets. \- Cybersecurity: While Root Finance takes reasonable steps to maintain the security of the platform, it cannot guarantee that the platform will be free from attacks, including but not limited to hacking, phishing, or other malicious activities. Users are solely responsible for ensuring the security of their wallets and associated keys. \- User Errors: Root Finance is not responsible for any losses resulting from user error, including but not limited to the incorrect input of wallet addresses, transfer of assets to the wrong address, or misunderstanding of how the platform operates. 7\. Limitation of Liability\ To the fullest extent permitted by law, Root Finance and its aRiliates, partners, and service providers disclaim all liability for any loss, whether direct, indirect, incidental, consequential, or otherwise, arising from your use of the platform. Root Finance's total liability for any claim is limited to zero dollars, as we do not assume responsibility for user errors, smart contract failures, third-party service issues, or security breaches. 8\. Modifications to the Terms\ Root Finance reserves the right to modify these Terms at any time. Any changes will be eRective immediately upon posting the updated Terms on the platform. It is the user's responsibility to review these Terms regularly to stay informed of any changes. Continued use of the platform following any changes constitutes acceptance of the revised Terms. 9\. No Warranty\ Root Finance is provided on an "as is" and "as available" basis, without any warranties, express or implied. We do not guarantee that the platform will be uninterrupted, secure, or error-free, nor do we guarantee any specific results from using the platform. 10\. Governing Law and Jurisdiction\ Root Finance is a fully decentralized protocol, designed to operate autonomously through smart contracts deployed on the Radix DLT. It is not a company, organization, or legal entity and has no creators, legal representatives, or controllers.\ The protocol is maintained and developed by a global community of independent contributors and enthusiasts. No individual or group can claim exclusive rights to or exercise centralized control over Root Finance.\ Users are solely responsible for ensuring their use of the protocol complies with the laws and regulations of their respective jurisdictions. As a decentralized protocol, Root Finance is not subject to the laws or regulations of any specific jurisdiction. \ In the event of disputes arising from the use of the protocol, such disputes cannot be attributed to the protocol itself or its contributors. Users agree that any disputes may be resolved through decentralized methods or independent arbitration, where applicable, without involving the protocol or its structure. 11\. Taxes and Compliance\ Users of Root Finance are solely responsible for determining and complying with any tax obligations arising from their use of the platform. Root Finance does not provide any tax advice or assistance in calculating taxes. Users must comply with all applicable laws, including those related to anti-money laundering (AML) and counter-terrorism financing (CTF). 12\. Privacy Policy\ Root Finance respects the privacy of its users and does not collect personal data beyond what is necessary for the operation of the platform. A separate Privacy Policy governs the collection, use, and sharing of user data. Users are encouraged to review the Privacy Policy to understand how their data is handled. 13\. Termination of Service\ Root Finance reserves the right to terminate or restrict access to the platform at its sole discretion, without notice or liability, if it believes that a user has violated these Terms or engaged in unlawful or harmful activities. # Privacy Policy Last updated: 09/19/2024 1\. Introduction\ Root Finance ("we," "our," or "us") is committed to protecting your privacy. This Privacy Policy explains how we collect, use, and share information when you interact with our decentralized platform. By accessing or using Root Finance, you agree to the terms of this Privacy Policy. 2\. Information Collection\ A. Information You Provide:\ We do not actively collect personal information, such as names or email addresses. However, if you contact us (e.g., for support or inquiries), we may collect any information you voluntarily provide, such as your name, email, and message content. B. Information Collected Automatically:\ When you interact with the platform, we may automatically collect technical information, including your IP address, device details (browser type, operating system), and interaction data (such as pages visited and features used). This helps us improve the user experience and ensure the security of the platform. 3\. Use of Information\ The information collected is used for the following purposes:\ \- Platform Operations: To operate and improve the platform’s performance and functionality. - User Support: To respond to user inquiries and provide support.\ \- Security: To protect the platform from fraud, malicious attacks, and unauthorized access. 4\. Sharing of Information\ We do not sell or share personal information for marketing purposes. However, we may share technical data with third-party service providers (e.g., security providers, analytics tools) who operate under strict contractual obligations to use the data only as instructed by us and to protect it. 5\. Third-Party Services\ Root Finance may integrate with third-party service providers, including but not limited to providers of technical solutions such as oracles, decentralized exchanges (DEX), or analytics tools. These services operate independently and are governed by their respective privacy policies. We do not control the privacy practices of these third parties, and any information collected through their services is subject to their terms and conditions. We encourage users to review the privacy policies of these third parties before engaging with them. 6\. Blockchain Transactions\ All transactions conducted through Root Finance are recorded on a public blockchain. These transactions are public and irreversible. Root Finance does not control or influence the transparency or immutability of blockchain records. 7\. Data Security We implement reasonable security measures to protect the information collected. However, we cannot guarantee the absolute security of information due to the inherent risks of internet- based systems. 8\. Data Retention\ We retain technical data only as long as necessary for the purposes outlined in this Privacy Policy, or as required by applicable laws. 9\. International Data Transfers\ By using Root Finance, you consent to the transfer of your data to jurisdictions that may not have the same level of data protection as your home country. Our data storage and processing facilities may be located outside your country of residence. 10\. User Rights\ Depending on your location, you may have the right to request access to, correction of, or deletion of any personal information we may hold. To exercise these rights, please contact us. 11\. Changes to the Privacy Policy\ We may update this Privacy Policy from time to time. Any changes will be posted on this page with the updated date. We encourage you to review the policy regularly. # Risk disclosure **RISK DISCLOSURE** **Market Volatility**: The cryptocurrency market is highly volatile. Prices can surge or drop dramatically within a short period, influenced by factors such as regulatory developments, market sentiment, or technological advancements. This volatility can significantly impact the value of the assets you are using on Root Finance, potentially resulting in substantial gains or losses. **Asset Value Fluctuations**: Cryptocurrencies and tokens in the DeFi space, including those on platforms like Root Finance, can experience rapid and significant value changes. Unlike traditional financial assets, which typically exhibit relatively stable price movements, crypto assets can fluctuate wildly due to the nascent and speculative nature of the market. **Potential Capital Loss**: Utilizing DeFi platforms like Root Finance involves the risk of capital loss. Given the unpredictability of market movements and asset values, there is always a possibility that the value of your assets could decrease, potentially significantly. This risk is amplified by the fact that DeFi remains an emerging field with evolving technologies and regulatory frameworks. **Affordability of Participation**: A key principle in using high-risk environments like DeFi is to only engage with funds that you can afford to lose. This approach helps mitigate the impact of worst-case scenarios, where asset values may sharply decline. Allocating only a portion of your resources that you are comfortable losing can safeguard your overall financial health. **Regular Monitoring and Health Factor**: When using DeFi platforms, active monitoring of your positions is crucial. On Root Finance, maintaining a health factor above 1 is essential. The health factor is a metric that assesses the safety of your deposited assets relative to your borrowed amounts. If this factor falls below 1, liquidation could be triggered. In such an event, your collateral may be sold off to repay borrowed funds, often at a disadvantageous price. Regular monitoring allows you to swiftly react to market changes and adjust your positions to avoid such scenarios. **Understanding Liquidation Risks**: Liquidation occurs when the value of your collateral no longer covers the amount borrowed due to market fluctuations. It is important to understand the mechanics of this process and the conditions under which it can happen. Proactively managing your positions and maintaining a healthy factor can help minimize the risk of unexpected liquidations. Root Finance operates as a decentralized, open-source lending and borrowing platform within the volatile cryptocurrency market. As such, Root Finance assumes no responsibility for potential capital losses or code-related bugs that users may encounter. Users are reminded that engaging with DeFi platforms like Root Finance involves risks, including, but not limited to, rapid price fluctuations and technical vulnerabilities that could significantly affect asset values. All users should review the **Terms of Use** before participating, as their engagement is at their own risk. Root Finance does not offer compensation for losses resulting from these inherent risks. # Contract Addresses **Mainnet** | Contract | Address | | -------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | | Lending market | component\_rdx1crwusgp2uy9qkzje9cqj6pdpx84y94ss8pe7vehge3dg54evu29wtq | | Pools |

XRD pool component
component\_rdx1cqasw720453g8pr2jc3nxq2h9rrv9cvfjy35q6jhskukqqs0t7qcky

USDT pool component
component\_rdx1cqz0f5znwhyy2d4q2rhncetm5tfpvu2c73kvfertktkw33drxcawk8
XWBTC pool component
component\_rdx1cp5hd3a2daw4vuzx0hywn56ur2pmat7nnytl5v3pv36xky5hkpr84y
XETH pool component
component\_rdx1cr87dx5laxnffdkyv4fsrwms3m62vexgye9x9xpxyrv63gzpgwt97d
LSULP pool component
component\_rdx1czmq3me09q7p7g7hgsyaqctfw3he4hl6ypg6em2h7nyd2umk0dhhnq
HUG pool component
component\_rdx1czuk76y4vhgd44sxly0un2tqegws670dqp0usl2tlsgfkhmdl8dad3
XUSDC pool component
component\_rdx1cqlfmwmhdmp0ln4gaera4skn3yz30p4k5ssv7lqflgh0rjeakwzs9f

EARLY pool component

component\_rdx1cr0pr68zxqvmfq2whn4nh22qcg2q5skdm7lt3qwvm6nfr2ccaryjsz

WOWO pool component

component\_rdx1crsgd3yqvfh49599yrfpw08ezjwjuns04970mz2l4dnyxxhwzuecy5

|