Borrowing

Users can borrow $RLDF tokens to purchase real estate property from Relcko against their real estate property used as collateral. They can thus obtain a RelBank-backed loan without any Paperwork.

Users pay variable interest rates that accrue for the duration of their loan, which often change unpredictably through governance. When using Liquity, users pay a one-time borrowing fee, determined upfront as a percentage of the drawn amount. All interests are then transferred to RelDefi lenders.

Lone is provided only to the non-moveable asset, To borrow, You need collateral in the protocol and draw new $RLDF Tokens against the collateral. You may proceed to sell the$RLDF Tokens for the underlying token, locking in your borrowing rate. Relcko has a built-in automated market maker to enable the efficient selling of $RLDF

Every month, you must repay the debt to reclaim your collateral. Of course, you may also repay your debt earlier than the maturity by returning the RLDF you have drawn. Interest rate changes may affect (positively or negatively) the amount of the borrowed asset. All interests are then transferred to RelBank.