Step by step

Here is a guide on how to use BACK. Users can participate as yield farmers, lenders or liquidators.

Yield farmers

• leveraged mining: users can select a desired pool and borrow the desired token to earn higher returns

  • Connect your wallet

  • Select your desired yield farming pool

  • Specify the amount of principal assets to be put into the pool: 1 or 2 assets of the trading pair in the pool/any ratio.

  • Specify the token to borrow and leverage to farm

  • Confirm your transaction

• To add assets into your position: when the debt ratio climbs, users can add assets into their positions to lower the debt ratio

  • Connect your wallet

  • Select the farming pool from the list of the pools you have positions in

  • Enter the amount of assets to add: 1 or 2 assets of the trading pair in the pool/any ratio

  • Confirm your transaction

    Note: added funds are viewed as principal asset and participate in farming

• Loan repayment: when the debt ratio climbs, users may repay part of the loans to lower debt ratio

  • Connect your wallet

  • Select the farming pool from the list of the pools you have positions in

  • Enter the amount you want to repay

  • Confirm your transaction

• Fund withdrawal: when the debt ratio drops below liquidation debt ratio, users can withdraw their funds at any ratio. BACK will convert the underlying funds to the currency that you borrow to pay debt and return the rest back to you based on the rule of minimum trading slippage. Users can also withdraw their preferred currency.

  • Connect your wallet

  • Select the farming pool from the list of the pools you have positions in

  • Enter the amount you want to withdraw

  • Confirm the transaction

• Re-investment/harvest: yield farmers can harvest farmed returns (platform token). They can either reinvest the returns or put them into the wallet

  • Connect your wallet

  • Select the farming pool from the list of the pools you have positions in

  • Select reinvestment/harvesting.

  • Confirm your transaction.

Lenders

• To deposit: users can lend their assets in a selected deposit pool and earn returns

  • Connect your wallet

  • select a pool from deposit pools

  • Enter the amount you want to deposit

  • Confirm your transaction.

  Note: after depositing A Token, your wallet will receive bkA Token. bkA Token holder is entitled to earn deposit returns and withdraw deposits.

• To withdraw: users can withdraw assets at any time

  • Connect your wallet

  • Select the farming pool from the list of the pools you have positions in

  • Enter the amount you want to withdraw

  • Confirm your transaction

  Note: After A Token of a certain amount is withdrawn, your wallet will receive A Token and automatically transfer the same amount of bkA Token to the protocol

Liquidator

• When the value of borrowed amount > total asset value x liquidation debt ratio, a liquidation will take place:

  • Any user can act as a liquidator to liquidate a position at risk

  • The liquidator will pay debt first and receive the liquidated asset from the yield farmer. The liquidator will also receive a proportional amount of liquidation bonus.

• a liquidation is triggered under the following circumstances:

  • the price of your loan rises: when the rising price of the loan leads to an increase in the total value of the loan, debt ratio climbs.

  • The price of your collateral drops: when the dropping price of your collateral leads to a decline in the total value of the collateral, debt ratio climbs.

  • Long overdue payment: loans incur interest which is accrued in the same token that is borrowed. The loan we refer to in this article always includes the accrued interest. An increasing value of the loan and interest can also trigger liquidation.