pufETH/WETH Pool Incentive on Untitled Bank

Incentives
1

Protocol/Gauge Name:

Untitled Bank - pufETH/WETH

Protocol Description:

Untitled Bank is a permissionless and modular lending platform on Soneium to provide a seamless and inclusive decentralized finance (DeFi) experience. Untitled Bank simplifies asset management and lending operations, making DeFi more accessible to both novice and experienced users.

Protocol Overview:

Untitled Bank combines the simplicity of monolithic systems with the flexibility of modular designs through its innovative Aggregated and Layered Bank architecture. We make DeFi lending accessible to all experience levels while solving liquidity fragmentation issues.

Target Audience:

  • DeFi Lenders & Borrowers: Users participating in the core lending/borrowing functions
  • Yield Optimizers: Users seeking to maximize returns through leverage and yield aggregation
  • Institutional Investors: Advanced vault strategies for large-scale operations
  • DAOs & Protocol Treasuries: Convert underutilized assets into revenue-generating vaults
  • Liquidity Providers: LP token vault creators and borrowers seeking to hedge positions

Key Features:

  • Modular Architecture - Users can build and deploy customized vaults for specific investment strategies or market needs, with interoperability ensured through the ERC-4626 Standard.
  • Leverage Feature - Automates the borrowing and re-depositing process to increase exposure, allowing users to select their desired leverage level.
  • Aggregated Lending(TBL) - Unifies permissionless lending markets through aggregation layers - the Core Market and Core Bank. The Core Market aggregates markets with identical collateral-loan asset pairs, while the Core Bank manages the aggregated liquidity pools.

Distribution Method:

Once the ETH-pufETH / pufETH-ETH borrow markets are deployed, users can supply or borrow pufETH to earn:

  • Interest – Generated from assets borrowed.
  • Untitled Bank’s UB point – Potential eligibility for future $UNB airdrops at TGE.
  • Puffer Incentives – Additional rewards provided by Puffer.
  • Incentives will be distributed based on amount of liquidity provided and borrowed(1:4 ratio weighted), proportional to the deposit am

Pool Addresses:

  • Recipient Chain: Soneium
  • Pool Address: To be deployed after the initial liquidity is added

Incentive Impact Statement:

Token incentives from Season 2 for supporting pufETH as collateral will significantly enhance user adoption for Untitled Bank. These incentives will create immediate impact through attracting new users looking to maximize utility of their pufETH holdings, increasing platform engagement as users explore additional borrowing and lending opportunities, and building long-term liquidity foundations that persist beyond the incentive period. By enabling pufETH as collateral, we’re expanding options for users while creating more capital-efficient DeFi markets. This integration aligns perfectly with our protocol’s commitment to accessibility and financial inclusion while supporting the broader growth of the DeFi ecosystem.

Eligibility Verification:

Please create a PR with your logo in the https://github.com/PufferFinance/puffer-assets/logos folder, format should be a square logo (of any dimensions) in PNG or SVG format.

Refer to puffer-assets/logos at main · PufferFinance/puffer-assets · GitHub for examples

Any Other Resources e.g. direct URL to pool, docs, etc.

Contact Information:

  • Telegram: @au_dodokim
  • Discord: untitled_drew
2 Likes
2

Good proposal.
Question:

  1. Wondering what does it mean by ’Incentives will be distributed based on amount of liquidity provided and borrowed(1:4 ratio weighted), proportional to the deposit am‘? Can we have an example?
  2. It will be an isolated pool for pufETH?
  3. This is the official X account https://x.com/BankUntitled ?
3
  1. Apologies, the sentence was cut off. It is ‘proportional to the deposit amount and duration’ at the end.
    I will refer to our current point system for an example:

1 U Point per hour for every $100 deposited in the Earn Bank
4 U Points per hour for every $100 borrowed

This structure is designed to reward both depositors who provide liquidity to the pool and borrowers who utilize that liquidity, with extra incentives for borrowing activity.

  1. Yes. Two isolated pools: WETH collateral /pufETH loan and
    pufETH collateral / WETH loan

  2. Correct!

1 Like
4

Got it. One more question is that how Untitled Bank deals with the liquidation when it happens?

5

Our internal liquidation bot handles liquidations. However, the liquidation is open to everyone, so anyone can execute liquidations. When a user’s health factor falls below 1, any external party can initiate liquidation through either liquidateByRepaidShares or liquidateBySeizedAssets functions. This process involves repaying the loan and receiving the collateral in return.

2 Likes