🔦Core Concepts

How the Fixed-Rate Lending Protocol works

This section explains the mechanics of the protocol. If you read the pages in order, each builds on the last:

1. Zero-Coupon Bonds — the instrument everything is built on: how a discounted price becomes a fixed rate

2. Order Book & Order Types — how lend and borrow orders meet, and when to use limit vs. market orders

3. Fixed Maturity & Auto-Roll — quarterly markets, and what happens to positions at maturity

4. Collateral — accepted assets per network, and how collateral secures loans

5. Liquidation — what happens when collateral coverage falls short

6. Tokenization — turning positions into transferable ERC-20 ZC Tokens

7. Fees — the complete fee structure

Terminology used throughout

Term	Meaning
Lend / Buy	Buying a ZC bond at a discount — you are the lender
Borrow / Sell	Selling a ZC bond against collateral — you are the borrower
Face value / Par	100 — the value every ZC bond reaches at maturity
Unwind	Closing a position by taking the opposite side in the same market
Auto-Roll	The protocol-wide mechanism that rolls matured positions into the nearest 3-month market
Itayose	The opening auction that sets a fair price when a new market starts

All numeric parameters (fees, thresholds, limits) live in one place: Protocol Parameters.