Navigating the SendIT Platform

SendIT is a money market platform on Solana, offering unique features that distinguish it from traditional iterations. This guide outlines the essential steps and provides insights into how the system operates, ensuring a seamless user experience.

Step 1

Learn about SendIT's distinctive features that make it stand out in the Solana ecosystem.

Step 2

Understand the long-only nature of SendIT, allowing users to supply SPL tokens, such as meme tokens, as collateral and borrow SOL against them. Borrowing meme tokens against SOL collateral is not possible. Each pair operates in isolation to safeguard the system from contagion due to the volatile nature of meme tokens.

Step 3

Discover how SendIT is physically settled, with all trades executed against on-chain liquidity. This approach eliminates the need for perps or synthetic assets. A comprehensive understanding of these features aids in navigating the platform effectively.

Step 4

Identify the role of lenders who provide SOL to individual pools or SendIT vaults. Lenders contribute the necessary SOL liquidity for loans against meme token collateral. Options include supplying SOL to specific pools or allocating it to SendIT vaults based on individual risk profiles.

Step 5

Explore the functionality of dynamic SOL allocation in vaults to maximize yield. Borrowers can deposit meme tokens as collateral to borrow SOL.

Step 6

Borrowers may choose to reinvest the borrowed SOL into their preferred meme tokens or supply SOL to earn yield. This strategy is often profitable on SendIT due to its multiple yield sources. Traders utilize their SOL for margin trading with up to 3X leverage on the platform.

Step 7

Gain a comprehensive perspective on SendIT's operations and the liquidity flow within the system. Acknowledge the risks and the liquidation process inherent in the protocol. The loan-to-value (LTV) ratio is capped at 70%, ensuring controlled borrowing activities.

Step 8

Borrowers can adjust their risk profiles by selecting conservative or aggressive LTV ratios. SendIT's proprietary liquidation system activates when the LTV ratio reaches 75%, executing partial liquidations to minimize adverse impacts. Loans are denominated in SOL, offering an advantage during market downturns.

Step 9

In market downturns, such as the October 10th event where $20 billion was liquidated industry-wide, the SOL-denominated loans provided stability. Minimal loan liquidations were observed, and the protocol functioned without incurring bad debt.

Step 10

Explore additional resources and videos to enhance your understanding of the platform, tailored to meet your specific needs.