Loan Offers
GONDI is a peer-to-peer lending marketplace for NFTs. Lenders compete to offer the best loan terms, and borrowers pick the deals they want.
How It Works
Making Loan Offers (Lenders)
Create loan offers by setting:
Principal: Amount you'll lend (WETH or USDC)
APR: Interest rate you want
Duration: How long borrowers have to repay
Origination Fee: Optional upfront fee
You can make offers on specific NFTs or entire collections.
Getting Loans (Borrowers)
See all available loan options on your NFT (including automatically combined offers)
Pick the option with the best terms
Get funds instantly (minus any origination fees)
Repay by the due date to get your NFT back
Automatic Offer Combinations
GONDI automatically combines compatible offers to create better loan options with lower cost or higher principal amounts.
Loan Mechanics
Offer Requirements
Every offer needs:
Maximum Principal: How much you'll lend
APR: Your interest rate
Due Date: Repayment deadline
Senior Tolerance: Controls offer combinations (explained in Advanced Concepts)
Expiration Date: When your offer expires
Optional:
Origination Fee: Deducted from loan amount upfront
Capacity: For collections, your total lending budget
Loan Tranches (When Offers Combine)
Senior Tranche: Lower risk position in combined loans Junior Tranche: Higher risk position in combined loans
Note: Repayment priority only applies during liquidation - see liquidation details for more information.
Collection Offers & Capacity
Collection Offers: Apply to any NFT in a collection (like all CryptoPunks)
Capacity: Your total budget across all loans
You offer max 5 WETH per loan with 50 WETH capacity
This supports 10 full loans or 20 half-loans OR any combination
Competitive Improvements
APR: New offers must be 1% better than existing ones
Principal: Must meet collection-specific minimums (see appendix)
Identical Offers: Processed first-come-first-served
Offer Management
Active: Live and visible
Hidden: Live but not shown in app (still works onchain)
Cancelled: Cannot be accepted
Expired: Automatically becomes invalid
Advanced Concepts
Understanding Senior Tolerance (ST)
Senior Tolerance determines the maximum amount that can be senior to your offer when offers get combined:
ST = 0: Your offer can only be the safest (senior) position
Higher ST: You accept that other safer debt (principal + interest) can be repaid before you
ST is calculated based on the principal plus accrued interest of senior tranches at loan origination.
How Offer Combinations Work: When an offer has Senior Tolerance > 0, it can be combined with other offers. GONDI creates combined loan options that borrowers see as single choices with better overall terms.
Effective APR (eAPR)
Effective APR (eAPR): The true cost of your loan including origination fees, calculated on an annual basis assuming repayment at maturity.
GONDI uses eAPR to determine the best loan combinations and present the most cost-effective options to borrowers.
Examples
Single Offer Loan
Available: 10 WETH at 18% APR for 6 months Borrower wants: 7 WETH Result: 7 WETH loan at 18% APR, 3 WETH remains available
Combined Offers Loan
Available Individual Offers:
Offer A: 5 WETH at 20% APR, ST = 10 WETH
Offer B: 8 WETH at 25% APR, ST = 0 WETH
GONDI Creates Combined Option: 10 WETH loan option
Senior tranche: 5 WETH from Offer B at 25%
Junior tranche: 5 WETH from Offer A at 20%
Why combinable: Offer A's ST accommodates Offer B's debt (5 WETH principal + interest < 10 WETH limit)
Borrower sees this as one loan option with a better eAPR than taking 10 WETH at 25%
Collection Offer
Offer: 15 WETH max per CryptoPunk, 150 WETH capacity, 22% APR Usage: Can support 10 full loans, or mix of partial loans totaling 150 WETH
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