Formulas

BI(n)​ = Borrow Index in block n

BI(n-1)​ = Borrow Index in block n - 1

R(second)​ = Borrow rate per second

Δt = The time interval between two blocks in seconds

APR(Simple Rate): 5%

Seconds in a year: 365 * 24 * 60 * 60

R(second): Borrow rate per second:

N(year): Number of blocks in a year

T(block): Average block time in seconds(6s)

Single tranche mode:

Multi tranches mode:

P(Liquidation) = Liquidation Price

Liquidation Threshold = Threshold for liquidation (e.g., 80%)

Total Borrows: Including principal and interest

Estimated number of blocks:

N(blocks) = Estimated number of blocks in the loan period

T(block) = Average block time in seconds(6s)

Estimated total interest:

BI(created) = Borrow Index on Loan created

BI(finish) = Borrow Index on Loan finish(Repay or Liquidated)