Liqee
Liqee: supplying ETH versus borrowing it
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Liqee used dForce Lending smart contracts for a decentralized lending market. Its documented rules required an address to repay all outstanding ETH loans before supplying ETH to earn interest. Supplying another supported asset as collateral and borrowing ETH could coexist.
Blockspot lists Liqee as discontinued; these lending terms describe its historical model.
What each ETH position did
- Supplying ETH
- Supplying added ETH to the lending pool to earn supply interest. It served an ETH holder seeking lending income, provided the same address had no outstanding ETH borrowing.
- Borrowing ETH
- Borrowing provided ETH against other supported collateral. It created an interest-bearing ETH debt and exposed the pledged collateral to liquidation risk.
The documented compatible pair was rETH supplied as collateral and an ETH loan. rETH and ETH were separate assets in that pairing, so the restriction on supplying and borrowing the same asset did not prevent their use together.
Why partial repayment did not unlock ETH supply
The lending FAQ's repayment terms allowed borrowers to repay loans partly or in full at any time, with interest calculated through the block of loan termination. Partial repayment reduced the ETH debt but left an outstanding loan. Full repayment was therefore necessary before the same address could deposit ETH to earn supply interest.
Variable rates, fees, and withdrawal liquidity
Supply and borrowing rates were recalculated each block from asset supply and demand. Neither position provided a fixed rate. The FAQ listed no protocol charge for supplying assets or originating a loan; borrowers still owed interest, and a portion of the lending interest spread funded a reserve.
Pool liquidity constrained access to supplied ETH. The FAQ described the available balance as total supply minus total borrowing of that asset and made instant withdrawals conditional on adequate liquidity. Borrowers could repay at any time, while suppliers depended on ETH remaining available in the pool when withdrawing.
Decision checklist
- An ETH holder seeking lending income needed to clear any outstanding ETH borrowing first.
- A holder seeking ETH against other supported collateral had to account for borrowing interest and liquidation exposure.
- A need for fixed rates or unconditional immediate withdrawals did not match the documented terms.