Guide to the Red Bank (Borrow/ Lend)

Mars Protocol features four sections: Red Bank, My Station, Fields, and Council. In this article, we will be taking a look at the “Red Bank”, where users are able to deposit or borrow assets.

To start, a user first needs to connect their wallet. A guide to connecting your wallet can be found here.

At launch, a user is able to deposit two assets on Mars; UST and LUNA.

Step 1: Deposit or buy assets

To deposit your assets, click on the “Deposit” button. If you don’t have that certain asset, you can click on the button beside it and click on “Swap” which directs you to Astroport (A decentralized exchange on Terra) to buy that asset.

Step 2: Choose deposit amount

When you click on the “Deposit” button, you will be directed to this page where you can choose how much of that asset you want to deposit. Once you’ve chosen how much you want to deposit, click “Deposit”. Confirm your transaction on the Terra extension wallet.

Step 3: Deposit confirmed

When the transaction is complete, you will be shown this page. Click on the “Close” button to be directed back to the “Red Bank” where you can deposit more assets or borrow other assets.

Step 4: Withdraw assets

To withdraw your assets, click on the button beside the “Deposit” button to display the “Withdraw” button. Click on the “Withdraw” button.

You will be taken to this page where you can choose the amount of assets you want to withdraw. Once you’ve chosen how much you want to withdraw, click “Withdraw”. Confirm your transaction on the Terra extension wallet.

Note: If you have an open borrow position, your withdrawals cannot reduce your borrow limit below the size of your position.

When the transaction is complete, you will be shown this page. Click on the “Close” button to be directed back to the “Red Bank”.

At launch, a user is able to borrow two assets on Mars; UST and LUNA.

Step 1: Borrow assets

To borrow assets, click on the “Borrow” button.

Note: In order to borrow assets, a user first needs to be a lender (deposit assets), as those assets will be used as collateral.

Step 2: Choose borrow amount

In this example, we will be borrowing LUNA.

When you click on the “Borrow” button, you will be directed to this page where you can choose how much of that asset you want to borrow. Once you’ve chosen how much you want to borrow, click “Borrow”. Confirm your transaction on the Terra extension wallet.

Note: You will only be able to borrow up to 75% of your total collateral amount in UST. Loan-to-Value (LTV) ratios for other assets can be found here. Note that because LTV limits are determined by the community, they are subject to change at any time and consequently the documentation may not be up to date at any particular time.

Step 3: Borrow confirmed

When the transaction is complete, you will be shown this page. Click on the “Close” button to be directed back to the “Red Bank” where you can deposit more assets or borrow other assets.

Step 4: Repay assets

To repay your borrowed assets, click on the button beside the “Borrow” button to display the “Repay” button. Click on the “Repay” button.

You will be taken to this page where you can choose the amount of assets you want to repay. Once you’ve chosen how much you want to repay, click “Repay”. Confirm your transaction on the Terra extension wallet.

When the transaction is complete, you will be shown this page. Click on the “Close” button to be directed back to the “Red Bank”.

This concludes the guide to the Red Bank.

DISCLAIMER

This article does not constitute investment advice. Before interacting with Mars, review the project disclaimers here.

Follow Mars on Twitter for the latest updates from Mission Control.

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Mars Protocol

Mars Protocol

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Mars is a credit protocol for the Cosmos ecosystem. Official site: https://marsprotocol.io