Frequently Asked Questions

Agama is the decentralized lending network for tokenized real-world assets. Lenders deposit stablecoins and earn yield from borrower interest, while stakers backstop the protocol through the Stability Pool and capture liquidation premiums. Everything runs onchain, with real-world collateral verifiable at every step.

Yield comes from interest paid by borrowers who post tokenized real-world assets as collateral. There are no token emissions, no rebasing, and no incentive farming. Returns are anchored to real economic activity, which makes them durable across market conditions.

Lenders looking for transparent, durable onchain yield backed by real-world assets. Stakers who want to amplify returns by absorbing liquidations through the Stability Pool. Originators who need deep, permissionless onchain liquidity against tokenized RWA collateral.

Agama is launching on Rayls, a permissioned EVM rollup purpose-built for regulated real-world assets. Other chains (Ethereum mainnet, L2s) are on the roadmap and will be activated as collateral capacity and integrations expand.

The Lending Pool is where lenders deposit stablecoins to earn yield. Deposits are lent to borrowers who post tokenized real-world assets as collateral, and lenders receive agYLD in return, a yield-bearing token that accrues borrower interest automatically.

agYLD is the yield-bearing token you receive when you deposit stablecoins into the Lending Pool. It accrues yield continuously from borrower interest, can be redeemed for the underlying stablecoin at any time (subject to liquidity), and can be staked into the Stability Pool to mint sagYLD for additional returns.

Deposits go through the Lending Pool: you supply stablecoins and receive agYLD at the current exchange rate. To withdraw, you redeem agYLD back into the underlying stablecoin. Both actions are onchain and atomic when there is sufficient pool liquidity.

The Stability Pool is the protocol's backstop. Stakers deposit agYLD and receive sagYLD in return. When a borrower's collateral falls below threshold, the Stability Pool absorbs the position at a discount and stakers earn the liquidation premium on top of base lending yield.

sagYLD is the staked version of agYLD. By staking agYLD into the Stability Pool, you mint sagYLD and earn liquidation premiums in addition to base lending yield, in exchange for absorbing liquidated collateral when borrowers fall below threshold.

sagYLD yield comes from two sources: the base lending yield that agYLD already earns, plus liquidation premiums paid when the Stability Pool acquires collateral at a discount. In practice, sagYLD APY is materially higher than agYLD because stakers take on the liquidation absorption risk.

Borrowers are originators and institutions that hold tokenized real-world assets. They post those assets as collateral, borrow stablecoins from the Lending Pool, and pay interest that flows back to lenders and stakers. Borrowing is permissionless at the protocol level, but each collateral type must first be approved by governance.

RWA Looping is a strategy where borrowers post tokenized real-world assets as collateral, borrow stablecoins against them, and re-deploy the proceeds to scale exposure. This drives demand for borrowing on Agama and ultimately powers the yield earned by lenders and stakers.

Borrowers must post collateral that has been onboarded by governance, currently tokenized trade finance receivables from regulated originators. Each collateral type has its own loan-to-value cap, liquidation threshold, and accepted issuer list. Collateralization ratios are enforced onchain at every block.

Agama accepts tokenized real-world assets from regulated originators as collateral. The first live collateral is NimoFast, tokenized LNG energy invoices on Rayls via Parfin. Additional asset classes (private credit, fund shares, treasuries) are being onboarded over time.

Yes. Originators go through due diligence before tokenization, and the underlying instruments are issued, KYC'd, and custodied by regulated entities. The tokenization platform (Parfin on Rayls) is itself a regulated infrastructure provider, and audit reports for the smart contracts are available in our docs.

New collateral types and originators are reviewed case by case: credit analysis, legal structure, custody, and servicing all go through a dedicated pipeline. Governance approves each new collateral type before it can be borrowed against. We prefer onboarding depth (more capacity per originator) over breadth early on.

When a borrower's position falls below the required collateralization, their collateral is liquidated and acquired by the Stability Pool at a discount. The Stability Pool absorbs the seized collateral, sagYLD holders earn the liquidation premium, and the protocol stays fully solvent.

Liquidation premiums accrue to sagYLD holders pro rata. When the Stability Pool absorbs collateral at a discount, the gain flows directly to stakers as additional yield on top of the base lending rate, which is why sagYLD consistently outperforms agYLD.

Agama charges a 10% performance fee on generated yield only. There are no deposit, withdrawal, or management fees. You only pay when you earn. Fee structures are transparently displayed before deposit.

No. Onchain gas for transactions is paid by the user, but there are no additional protocol fees beyond the performance fee. Fee accrual is visible onchain and included in yield reporting.