Whale Match FAQs

Frequently-Asked Questions about MYSO's Whale Match product

Who can become an arranger on Whale Match?

• Anyone can become an arranger and set up loan deals and earn commission - this includes users that want to become lenders or even the borrowers themselves. Simply navigate to Whale Match on the MYSO dApp and create a loan proposal with your desired loan terms and set a commission fee for a potential payout if the loan proposal goes through!

Who is most suited to be a borrower on Whale Match?

• Borrowers for loan proposal will typically be DAOs/protocols looking for securing stablecoins for runway and product development funding. These parties can issue convertible bonds to make repayments available in the collateral native token

How does convertible debt work in Whale Match?

• Each loan on Whale Match can be structured with a conversion feature (similar to that of convertible bonds in TradFi). This allows borrowers to serve repayments in their pledged collateral (typically a given protocol's native token) rather than in stablecoins, thereby reducing overall stablecoin borrowing costs. This can also attract willing lenders who want to have equity-like upside participation in the collateral token

What happens if a loan proposal goes to final call, but the target loan amount is not met?

• Once loan terms are locked in and go into final call, lenders can choose whether to subscribe or unsubscribe from the proposal. If the target loan amount is not met in the end, funds are re-distributed back to the deposited lenders and the proposal does not go through

What happens if a borrower defaults on their loan and there are multiple lenders that subscribed to the loan?

• The defaulted collateral is distributed to each lender on a pro-rata basis. It is up to the borrower whether they want to repay the loan or not, so it is important to make sure that each loan proposal has favorable parameters for all parties prior to finalization