Native Documentation
  • introduction
    • Welcome
    • What is Native
      • Benefits for key players
    • Credit Margin Engine
    • Native Credit Pool
    • Build with Native
      • Credit API Introduction
      • Market Makers
        • Guide
          • REST API Integration
            • Orderbook
            • Firm-Quote
            • Sign-Quote
            • On-chain events for swap
            • Testing your API
          • WebSocket Integration
            • Orderbook
            • Firm-Quote
            • Sign-Quote
            • On-chain events for swap
          • Using Native Credit Pool
        • Credit API
          • GET Market maker settings
          • GET Token settings
          • GET Market maker positions
          • GET Available borrows
          • POST Verify settlement
          • POST Request settlement
          • POST Cancel settlement
          • POST Settlement status
          • POST Verify collateral removal
          • POST Request collateral removal
          • POST Cancel collateral removal
          • POST Collateral removal status
          • POST Liquidation
          • GET All market maker settings
      • Relayers
        • Guide
        • Swap API
          • GET Orderbook
          • GET Indicative quote
          • GET Firm quote
          • Bridge API
            • GET Indicative quote
            • GET Firm quote
            • GET Refund
            • GET Transaction history
            • GET Transaction status
        • Asset Issuers
        • Credit API Reference
        • System Status
      • Protocol
        • Addresses
        • Audits
      • Resources
        • Github
        • Business Source License
        • Media kit
      Powered by GitBook
      On this page
      • For liquidity providers
      • For market makers
      • Oracles
      1. introduction

      Native Credit Pool

      The marketplace where LP-supplied capital fuels credit-based trading

      PreviousCredit Margin EngineNextCredit API Introduction

      Last updated 3 months ago

      Native Credit Pool is a dynamic credit marketplace where capital from LPs is transformed into credit, used by Native's network of PMMs through the Credit Margin Engine (CME).

      The following is a conceptual example of how the Credit Pool is used:

      • As LPs deposit liquidity, PMMs gain the necessary assets for market-making activities.

      • This increased liquidity enables PMMs to offer more competitive quotes, especially for large trade sizes.

      • Improved pricing attracts more traders, driving up trading volumes.

      • As volumes increase, market makers access additional credits from Native Credit Pool to fulfil these transactions.

      • The fees market makers pay for borrowing capital are distributed to LPs as credit APY, boosting their returns.

      • These higher yields attract more LPs, creating a positive feedback loop that continuously drives liquidity and yield growth.

      For liquidity providers

      ✨ Supply or borrow assets via https://native.org/app/markets/ today:

      Resources

      For market makers

      💧 Join us as a market maker and integrate with Native today:

      Resources

      Oracles

      Native uses RedStone Oracles as the primary solution for asset pricing. RedStone is a Modular Oracle that delivers frequently updated, reliable, and diverse data feeds in a few models. Native utilizes the Core model in which the data is automatically appended to user transactions.

      User guide
      How does Supply work?
      How does Borrow work?
      How does Liquidations work?
      What safety measures does Native have in place?
      Guide
      What's credit-based inventory?
      How do I market make on Native?
      How are fees charged?
      Page cover image