How Zeeria works

You transfer BTC (WBTC) or ETH into the Zeeria CollateralVault — an isolated ERC-20 escrow that only the ZeeriaPool contract can move. Your balance is tracked in a Position struct keyed by your address.

The vault is a separate contract from the lending pool on purpose: if the pool logic is ever upgraded or paused, the collateral escrow remains unchanged.

Once you have collateral, you can borrow USDC up to 70% of its USD value. Example: 0.1 BTC @ $60k = $6 000 collateral → you can borrow up to $4 200 USDC.

A 0.25% origination fee is rolled into your debt at borrow time. Interest accrues continuously at the variable borrow APR, set by the pool's kinked interest-rate model (Aave V3-style).

Your Health Factor (HF) is a single number that tells you how far you are from liquidation:

HF = (collateral value × liquidation threshold) ÷ debt value

• HF ≥ 1.5 — Safe zone. No action needed.
• 1.1 ≤ HF < 1.5 — Warning zone. Consider repaying part of your debt or adding collateral.
• HF < 1.0 — Liquidatable. Anyone can call liquidate() to repay up to 50% of your debt and seize a proportional slice of your collateral plus a 5% bonus.

Liquidations are permissionless: market participants run bots that compete to liquidate unhealthy positions. This is what keeps lenders solvent — even when prices crash.

Repay partial or in full via the Repay tab. No prepayment penalty. Interest stops accruing on the repaid portion immediately.

Once your debt is zero, you can withdraw any or all of your collateral.

You can also supply USDC to the pool and earn yield. In exchange for your USDC you receive zUSDC, an ERC-4626 share token that appreciates as borrowers pay interest.

Redeem zUSDC at any time, subject to pool liquidity. When the pool is fully utilized, redemptions may need to wait for borrowers to repay — this is why the interest-rate curve gets steep above 80% utilization.

Zeeria is built on open-source primitives: OpenZeppelin v5 contracts, Foundry testing with 147 passing unit/fuzz/invariant tests, ReentrancyGuard, SafeERC20, Math.mulDiv for precision. All smart contracts are verified on Basescan — you can read the source before interacting.

Admin functions go through a 3-of-5 multisig with a 48-hour Timelock; no unilateral upgrades. External audit reports are published as they complete.