HedgeHog 🦔

This protocol is a creation system. It is a collection of smart contracts that enables a customer to transform their assets into credit. The protocol achieves this by wrapping and then "splitting" the token into 1:1 tokens and an NFT of equivalent value. This enables customers a greater degree of capital efficiency because customers are able to use both the tokens and the NFT in different protocols at the same time. If a customer wants to claim the underlying collateral they burn an NFT that's valued at the amount they want to claim and a corresponding amount of tokens.

This protocol creates credit from assets by splitting the position into two tokens, an ERC20, and an NFT. The ERC20, CREDS, is the wrapped version of the position similar to wrapping ETH. The NFT, CREDIT, represents the position itself. The value of the asset determines the value of both CREDS and CREDIT. Ex. If a customer deposits a fixed income position that's valued at $100 then they will receive 100 CREDS and an NFT that represents $100. Both CREDS and CREDIT are effectively 1:1 with the asset. The protocol also features wrapper contracts that enable customers to deposit underlying assets and the wrapper contracts deposit them into their respective yield generation protocols. Utilizing Tempus allows customers with fixed positions to have more capital efficiency. Customers are also able to obtain the underlying collateral they want without having to use multiple protocols which saves on time and gas.