FAQ

Answers to frequently asked questions related to Archi Bank.

How is interest paid?

Interest is paid as assets such as deposited and loan assets. For example, deposit interest is added as CAT if CAT was deposited, and the loan interest is added as ETH if you borrowed ETH.

It is impossible to distinguish the amount of deposit principal (or loan principal) and accrued interest.

It is not possible to know separately because Archi Bank manages the balance of the principal with the accrued interest.

Additional complicated tasks are required to offer the deposit principal and accrued interest since the Compound contract forked by Archi Bank does not offer it separately. Archi Bank plans to support this in a future upgrade even though it is difficult.

The deposit balance has decreased.

The deposit balance provided to the user in real time is the amount plus the calculated interest that fluctuates in real time. The interest is only interest based on calculations provided in real time. It is not yet final.

The actual interest that is applied is calculated at the time of the transaction.

The final interest is processed when someone makes a transaction such as making a deposit, withdrawal, repayment, or liquidating through Archi Bank.

For example, suppose the interest rate is 10%, and 10 blocks are created with no change in the interest rate, and a transaction that finalizes the interest is executed such as deposits. In this case, the interest rate is determined by applying the 10% interest rate in 10 blocks. If none of these transactions are executed, the interest rate becomes 0 in the 11th block creation, and if a transaction such as a deposit is executed after, an interest rate of 0% is applied for 11 blocks. In this case, the balance displayed after the creation of the 11th block creation will be smaller than the balance displayed until the 10th block.

The above example may occur when the interest rate rapidly changes during the initial operation or when there are few users.

The loan balance has decreased.

The reason the loan balance decreases is for the same reason that the deposit balance decreases.

Can't I borrow CAT?

CAT is currently unavailable.

CAT loans will begin if it is determined that the liquidity has been supplied to Archi Swap’s CAT/ETH exchange pool at a level that is difficult to cause rapid fluctuations in prices.

The loan has been suspended. The liquidation has been suspended.

Loans and liquidations are automatically suspended in case of sudden fluctuations in the CAT price. This is a means to protect customer assets from those who want to profit by artificially changing prices rapidly.

Currently—the standard for automatic suspension of loans and liquidation is when CAT prices rise or fall more than 30% from the previous day.

If loans and liquidation are automatically suspended—it will resume after necessary actions taking at least 8 hours and up to 24 hours.