KUDAN DOCS
Everything the engine does, on one page.
Overview
KUDAN is a lending protocol on Robinhood Chain. You deposit tokenized stocks — xStocks bridged from Solana over LayerZero, or Robinhood Stock Tokens natively — and borrow USDG against them, 24/7.
Unlike other money markets, KUDAN prices time: the maximum loan-to-value follows the NY trading clock, because a stock that can gap at Monday's open is not the same collateral on Saturday night.
Collateral & rails
Two rails feed the vault. The SOL RAIL carries xStocks (xNVDA, xTSLA, xAAPL, xMSTR) from your Solana wallet over LayerZero — one transaction, collateral lands on Robinhood Chain. The RH RAIL takes Robinhood Stock Tokens natively, no bridge needed.
Every asset is priced by a Chainlink × Pyth dual oracle. A stale primary (heartbeat 3600s) or a divergence above 200 bps between the two sources freezes pricing rather than serving a bad number.
| ASSET | RAIL | HAIRCUT |
|---|---|---|
| xNVDA / NVDA | SOL + RH | 100% |
| xAAPL / AAPL | SOL + RH | 100% |
| xTSLA / TSLA | SOL + RH | 90% |
| xMSTR / MSTR | SOL + RH | 75% |
The haircut is the fraction of the regime LTV schedule the asset receives. Volatile tickers run below 100%.
The market-hours risk engine
The base LTV schedule follows the New York trading calendar (DST-aware). An EARNINGS window can be armed per asset around a print and expires automatically.
| REGIME | WHEN (NY TIME) | BASE LTV |
|---|---|---|
| MARKET OPEN | Mon–Fri · 09:30–16:00 | 65% |
| AFTER HOURS | Mon–Fri · outside market hours | 55% |
| WEEKEND | Saturday & Sunday | 45% |
| EARNINGS WATCH | Armed around a print · auto-expires | 40% |
EFFECTIVE LTV
effective LTV = regime schedule × asset haircut + staking boost (cap 80%)
liquidation threshold = effective LTV + 10 ptsBorrowing & interest
Draw USDG up to your effective LTV. Interest accrues per second on a kinked utilization curve, starting at a 4.21% base APR; above 80% utilization the slope steepens sharply.
Pay interest in $KUDAN and the rate is permanently cut by 20% — the $KUDAN is pulled at the Uniswap v3 30-minute TWAP and routed to the buyback accumulator. Staking tiers shave further basis points off.
BORROW APR
APR = 4.21% + 4% × (util / 80%) util ≤ 80%
APR = 4.21% + 4% + 60% × (util − 80%) / 20% util > 80%
× 0.80 if paid in $KUDAN · − tier discountThe dan ladder
Your health factor maps to the nine classical dan grades. HF = (collateral × liquidation threshold) / debt. Below 1.00 the position is liquidatable.
| RANK | NAME | HEALTH FACTOR |
|---|---|---|
| D1 | SHODAN | HF 1.00–1.25 |
| D2 | NIDAN | HF 1.25–1.50 |
| D3 | SANDAN | HF 1.50–1.75 |
| D4 | YONDAN | HF 1.75–2.00 |
| D5 | GODAN | HF 2.00–2.25 |
| D6 | ROKUDAN | HF 2.25–2.50 |
| D7 | NANADAN | HF 2.50–2.75 |
| D8 | HACHIDAN | HF 2.75–3.00 |
| D9 | KUDAN | HF 3.00+ |
Liquidations
When HF crosses below 1.00, liquidation is permissionless: a keeper repays up to 50% of the debt (close factor) and seizes collateral with an 8% bonus, transferred directly — no in-contract swap.
If a position is left with debt and no collateral, the residue is written off against the staked $KUDAN insurance pool (pro-rata slash, routed to the buyback accumulator).
| Trigger | HF < 1.00 |
| Close factor | 50% of debt per liquidation |
| Keeper bonus | +8% on seized collateral |
| Bad debt | Slashed from staked $KUDAN |
$KUDAN & staking
Staked $KUDAN is working capital: it insures the protocol as first-loss capital, earns a USDG fee stream (25% of interest), and unlocks tiers. Unstaking takes a 7-day cooldown — and stays slashable until claimed.
| TIER | THRESHOLD | LTV BOOST | RATE DISCOUNT |
|---|---|---|---|
| SHODAN | 10K $KUDAN | +0 pts | −0.00% |
| GODAN | 100K $KUDAN | +2 pts | −0.75% |
| KUDAN | 1M $KUDAN | +5 pts | −1.50% |
Interest split: 50% USDG suppliers · 25% buyback accumulator · 25% staking stream.
Contracts & security
The contracts are immutable — no upgradeable proxy. Every parameter change goes through a 24-hour TimelockController. A guardian can pause deposits and borrows only; repay and withdraw can never be paused.
| KudanVault | Markets, ERC4626 USDG side, borrowing, liquidations |
| OracleRouter | Chainlink primary + Pyth secondary, staleness & deviation guards |
| RegimeController | Weekly schedule as UTC offsets, earnings windows |
| KudanStaking | Tiers, 7-day cooldown, insurance pool, fee stream |
| KudanToken | ERC20 + Permit, fixed 1B supply, no mint |
Experimental software. xStocks and Stock Tokens are tokenized exposure products issued by third parties. Cross-chain bridges carry additional risk. Ranks can fall.