Frequently Asked Question
What is SOLARR Credit? SOLARR is a decentralized peer-to-peer (P2P) NFT liquidity platform offering instant credit to NFT owners by rewarding suppliers for providing liquidity. Users can borrow, lend and earn on their digital assets and NFTs through peer-to-peer transactions on SOLARR’s non-custodial platform. Businesses can also access tools to launch and monetize NFT-based real-world assets with ease.
What is peer-to-peer borrowing? Peer-to-peer borrowing is an activity conducted by matching people who have idle cryptocurrency loans to provide and people who are looking for loan. Individuals obtain loans directly from other individuals.
What wallets do we support? We support MetaMask wallet at this moment. However, it will support more wallets coming soon.
What chains do we support? We currently support Ethereum blockchain and more blockchains will be supported in the near future.
What cryptocurrencies do we support? We support Ethereum native token (ETH) and Tether (USDT) as the cryptocurrency for trading at this stage and more cryptocurrencies will be supported coming soon.
Are there any service fees? We only charge on successful loan repay cases. 4% service fee from the yield will be charged to lender when the loan is repaid. If the loan is breached, we won’t charge any fees. We don't charge any fees to borrowers.
Are there any other fees? Just like other DApps, borrowers and lenders need to pay gas fees for the operations when interacting with the blockchain, such as granting the platform permission. For borrowers, there is a one-time gas fee for approving SOLARR Credit smart contract to interact with your NFT for each collection. Also, when borrower accepts the loan or repays the loan, gas fees will be charged to complete the transaction in the blockchain. For lenders, there is a one-time gas fee for approving the SOLARR Credit smart contract to spend ETH or USDT. Also, when lender claims the NFT from a breached loan, gas fees will be charged to complete the transaction in the blockchain.
What is loan amount? Loan amount is the amount of cryptocurrency the borrower will receive from the lender in a successful loan. We support ETH and USDT.
What is loan period? Loan period is the period of time that the borrower has to repay the loan. If the borrower does not repay the loan on time, the borrower will lose ownership of the NFT. The maximum loan period is 366 days.
What is Loan repayment? Loan repayment is the amount by adding up the loan amount and yield that the borrower has to repay once the loan is created.
What is annualized yield? As a borrower, it is the cost of interest to borrow a loan in an annualized expression, when the borrower repay the loan. As a lender, it is the earning It is the cost the borrower has to pay for borrowing a loan. The maximum annualized yield is 400%.
What is the floor price? Floor price is the lowest sale price that an NFT will sell for from the collection it is in.
Is SOLARR Credit secure? We provide decentralized loan for borrowers and lenders. All activities will be recorded in blockchain, managed through a unique ID and metadata that no other token can replicate. When you accept loan, your NFT will be transferred to the smart contract. The smart contract securely holds the NFT. Nobody can use the NFT in any way until you repay or breach the loan.
What NFT can be listed as collateral? We have a criterion to approve the NFT collections to become a whitelist for listing the NFT. You can only list the collections, that are whitelisted, to get loan.
Can I request a collection to be whitelisted? Not at this stage. Once it is available for people to request a collection to be whitelisted, we will make an announcement. If you are a project owner, feel free to contact us or send your proposal to contact@solarr.io.
Borrower
What are the benefits of getting loans? You can get current assets to give financial flexibility for investment or other activities without selling your NFT.
How to raise a loan? If you have a whitelisted NFT, you can click the “Borrow” button and find the NFT to list in “Lend” page. You may request the loan amount, period and annualized yield you want. When you list the NFT, it will appear on the "Lend" page. Then, you need to wait for the offer made by lenders. You can go to the "Offers Received" page under your profile to check and choose an offer. When you accept the offer, your NFT is transferred to the smart contract. The loan will be transferred to your wallet. You can go to the "Borrowed" page to repay the loan.
How long will my listed NFT last? The listed NFT will keep on the “Lend” page until you lose ownership of the NFT.
Can I change the loan terms or cancel the loan? You can change the loan terms of your request or cancel your listed NFT at any time before you accept an offer. When you accept an offer, you can’t change or cancel. You can go to the "Borrow" page and click the NFT redirecting to the detail page to change or cancel.
Where can I review my received offers? You shall go to “Offers Received” page under your profile to review the offers you have received. In the page, you can also choose an offer to accept.
Can I accept multiple offers? No, you can only accept one offer. After you accept an offer, your NFT will be transferred into the smart contact.
How to repay a loan? You can go to the "Borrowed" page under your profile and click the “Repay” button to repay the loan. Please make sure you have enough USDT and ETH in your wallet to repay and pay the gas fee.
Can I repay my loan early? You can repay your loan at any time within the loan period.
Can I repay partially? You can only repay your loan in a single payment.
Can I use another wallet to repay? You can only repay your loan by the wallet that you started the loan.
What happens if my loan is past due? When your loan is past due, you can’t repay anymore. The lenders can claim and receive the NFT after the loan is past due.
Can my NFT receive airdrops in the loan period? If the airdrops happen in the loan period, you cannot receive the airdrops as the NFT is locked in the smart contract escrow.
Lender
What are the benefits of lending loan? Lenders can earn enticing yields on their idle cryptocurrency safely in a short period. lenders also have an opportunity to acquire NFT at a significant discount to market value if the borrowers breach a loan.
How to lend loan? You can go to the "Lend" page to browse the listed NFTs and make an offer by proposing a loan amount, period and yield %. Then, the borrower will receive your offer. Your offer will expire after 7 days if the borrower doesn't accept it. If the borrower accepts your offer, the loan will transfer out automatically from your wallet. Please make sure you have enough cryptocurrencies in your wallet.
Can I update or cancel an offer? You can change or cancel your offers at any time before the borrower accepts your offer. When the borrower accepts your offer, you can’t change or cancel. You can go to the "Offers Made" page under your profile to update or cancel your offers.
How long will my offer last? Your offer will last for 7 days. It will expire after 7 days if the borrower doesn't accept it.
Where can I review my made offers? You shall go to “Offers Made” page under your profile to review the offers you made. In the page, you can also update and cancel the offers you made as long as the offers are not accepted.
Do I need to make a transfer when the borrower accepts my offer? The loan will transfer out automatically from your wallet when the borrower accepts your offer. Note: This action will only be done when you have enough loans in your wallet.
What happens if I don't have enough loans in my wallet after I make an offer? The borrowers can’t accept your offer if you don't have enough cryptocurrencies in your wallet. It's a pity about wasting an opportunity. Please make sure you have enough cryptocurrencies in your wallet.
What happens if the borrower breaches a loan? When the loan is past due, the borrower can’t repay anymore. You can claim and receive the NFT after the loan is past due.
What happens if I didn’t claim the NFT? The NFT will be kept in the smart contract and you can claim any time.
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