Glossary
DeFi terms, explained simply.
Every term you'll encounter on Quamrailsinvestir and in DeFi, defined in plain language.
A
APR
Annual Percentage Rate. The yearly interest rate without compounding. Quamrailsinvestir loan rates are expressed as APR.
APY
Annual Percentage Yield. The effective annual return accounting for compound interest. Quamrailsinvestir vaults display APY as the net rate after all fees.
Arbitrum
An Ethereum Layer 2 scaling solution using optimistic rollups. Quamrailsinvestir is deployed on Arbitrum One for low fees and fast transactions.
C
Collateral
Assets deposited to secure a loan. On Quamrailsinvestir, BTC and ETH serve as collateral for fiat and stablecoin loans.
D
DeFi
Decentralized Finance. Financial services built on blockchain smart contracts, operating without traditional intermediaries.
L
Liquidation
Automatic sale of collateral when a loan's LTV exceeds the threshold (85% on Quamrailsinvestir). Quamrailsinvestir uses partial liquidation — only 50% of collateral is sold.
LTV
Loan-to-Value ratio. The percentage of collateral value that has been borrowed against. Higher LTV = higher risk. Quamrailsinvestir liquidates at 85% LTV.
M
Multisig
A wallet requiring multiple signatures to authorize transactions. Quamrailsinvestir uses a 2-of-3 multisig for all admin operations.
N
Non-custodial
A system where users retain control of their own funds. Quamrailsinvestir never holds user private keys or controls user assets directly.
O
Oracle
A service that feeds external data (like asset prices) to smart contracts. Quamrailsinvestir uses Chainlink as its primary oracle.
S
Smart Contract
Self-executing code deployed on a blockchain. Quamrailsinvestir's vaults, loans, and subscriptions are all implemented as smart contracts on Arbitrum.
Stablecoin
A cryptocurrency pegged to a stable asset (usually USD). USDT and USDC are the stablecoins used on Quamrailsinvestir.
T
TVL
Total Value Locked. The total USD value of all assets deposited in a protocol's smart contracts.
V
Vault
A smart contract that accepts deposits and generates yield. Quamrailsinvestir vaults are fixed-term (30, 90, or 180 days).