How is the yield generated

Permissionless lending pools back the issuance of Bond NFTs

Introduction to Permissionless Lending Pools

Credible’s permissionless lending pools allow for decentralized lending and borrowing without centralized approval. This structure enhances accessibility and efficiency, enabling a wider range of participants to engage with the platform.

Auto-Allocation Mechanism

The bond NFTs are backed by a permissionless lending pool that automatically allocates capital across various lending opportunities within the Credible ecosystem. This ensures that investors benefit from the highest available yields while diversifying risk across multiple lending pools, thereby optimizing returns.