Protocol Design

While Silo is risk-isolated, lenders are still exposed to the silo they deposit into.

The Silo Protocol consists of multiple deployments which is are collections of lending markets ("silos") that share a parent chain and bridge asset. Each deployment consists of multiple individual silos that are isolated at the market level.

Each silo allows for a single base asset and bridge asset(s) only but share common architecture with modular configurations, including:

Since each silo is its own market, events occurring in one silo - including bad debt - does not affect any other silo. Additionally, configurations in one silo can be adjusted independently of configurations in other silos.

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