Statement to Atlendis' Community: Closure of the Auros pool

Current situation

The recent bankruptcy of FTX and resulting market downturn triggered a shortage in liquidity that has resulted in a chain of insolvencies. Auros was unfortunately directly impacted by this and was in turn downgraded from A to B and then from B to C by Credora over the week following FTX’s collapse. Please see Auros’ official statement from December 1st here.

Timeline of events

On October 24th, Auros opened a USDC pool on the Atlendis protocol, with a maturity of 60 days and a $5,000,000 borrowing capacity. Following the market volatility and in the interest of transparency to the Atlendis community, on November 16, Atlendis Labs released a statement about FTX and the market situation and Auros’ address was frozen on Atlendis. As of today, no user funds have been impacted on Atlendis.

Next steps

The Atlendis Labs team will be closing Auros’ pool on Tuesday December 6, to stop the possibility for lenders to deposit into this pool. Lenders who deposited into the Auros pool are encouraged to withdraw their funds from the Auros pool, even though they will continue to earn interest on Aave until withdrawn. “Closed” pools are not directly displayed on the Atlendis protocol’s interface, however, lenders can find closed pools by using the pool status filters as shown in the following screenshot:

For more information please contact Auros directly or reach out on Atlendis’ Discord server.

Transparency is one of our core values at Atlendis Labs. The Atlendis Labs team will continue to work proactively on providing transparency on the financial health of borrowers on Atlendis, especially in volatile times, to help lenders be able to make informed credit decisions.

About Atlendis

Atlendis is a decentralized credit protocol that enables peer-to-institution lending. Lenders have control over their exposure by choosing their borrower and over their return by choosing their lending rate. Lenders earn high interests paid in kind on actively loaned out capital, while unused capital is placed on a trusted third-party yield protocol like Aave, so that capital is always active. Institutional borrowers have instant and revolving access to their dedicated line of credit, with no intermediaries and with flexible and competitive loan terms. Liquidity pools on the Atlendis protocol are similar to revolving lines of credit, giving borrowers flexibility for recurrent and short term liquidity needs. Atlendis enables trusted borrowing and lending, opening a wide range of use cases for borrowers and lenders.

Additional Resources

Statement to the Atlendis Community: Closure of the Auros Pool