Orbit Finance

A Hybrid Self-Repaying Lending Protocol Combining DeFi + Real-World Assets

Orbit Finance is a next-generation lending protocol that enables automatic debt repayment through yield generation. By combining traditional DeFi collateral with tokenized Real-World Assets (RWAs), Orbit creates a sustainable borrowing experience where your debt reduces over time without manual intervention.

🏗 Architecture Overview

Protocol Flow

The diagram above illustrates the complete self-repaying loan lifecycle:

1. User Deposits Collateral - Yield-generating assets (crypto or RWAs)

2. Collateral Locked - Secured in smart contracts

3. Borrow Token Issued - User receives orUSD stablecoin

4. Collateral Invested - Deployed to yield strategies or SPVs

5. Yield Generated - Continuous income from DeFi protocols or real-world cash flows

6. Yield Auto-Repays Debt - Automatic debt reduction without manual intervention

7. Debt Paid → Collateral Released - Full repayment unlocks collateral

Note: RWA loans work like traditional loans but with on-chain transparency. Yield generated from the collateral is automatically used to repay the loan over time, inspired by Alchemix-style self-repaying mechanics.

🔄 How Orbit Finance Works (Step-by-Step)

The Self-Repaying Loan Process

1. Deposit Collateral

   • Users can deposit DeFi tokens (WETH, USDC) or tokenized RWAs (rental income NFTs, invoice-backed assets, bonds)

   • Collateral is locked in secure smart contracts

2. Borrow Stablecoins

   • Borrow against your collateral at competitive LTV ratios

   • Receive orUSD (Orbit's synthetic stablecoin) or USDC

3. Yield Generation Begins

   • DeFi Collateral: Automatically deployed to yield-generating vaults and strategies

   • RWA Collateral: Generates real-world cash flows (rental income, invoice payments, bond coupons)

4. Automatic Debt Repayment

   • All generated yield is routed to the Auto-Repayment Engine

   • Yield is automatically applied to reduce your outstanding debt

   • No manual repayment transactions required

5. Debt Reduces Over Time

   • Your loan balance decreases continuously as yield accrues

   • Liquidation risk is significantly reduced

   • Eventually, your loan can be fully repaid by the yield alone

Simplified Flow

Deposit Collateral (DeFi or RWA) → Take a Loan → 
Behind the scenes, collateral generates yield → 
Yield automatically reduces your debt

Inspiration & Innovation

Orbit Finance is inspired by Alchemix but extends the self-repaying loan concept to:

• Real-World Assets (RWAs) with institutional-grade compliance

• Hybrid liquidity pools combining on-chain and off-chain yield

• KYC/AML-compliant flows for regulated asset classes

🪙 Tokenomics

Orbit Finance features a three-token system designed for governance, risk-adjusted yield, and protocol sustainability.

Token Overview

ORB Token Utility

Governance

• Vote on protocol upgrades and parameter changes

• Propose new RWA asset classes

• Manage protocol treasury allocation

Staking Benefits

• Reduced borrowing fees (up to 50% discount)

• Boosted yield farming rewards

• Access to exclusive RWA pools

• Revenue sharing from protocol fees

Protocol Incentives

• Liquidity mining rewards for DeFi vaults

• RWA originator incentives

• Referral bonuses

• Early adopter rewards

Tranche Tokens (srORB & jrORB)

Senior Tranche (srORB)

• Target APY: 6-8% (stable, predictable)

• Risk Profile: Low - first claim on all RWA cash flows

• Ideal For: Conservative investors, institutions, treasuries

• Protection: Junior tranche absorbs first 20% of losses

Junior Tranche (jrORB)

• Target APY: 12-18% (variable, performance-based)

• Risk Profile: Higher - subordinated to senior tranche

• Ideal For: Risk-tolerant investors seeking enhanced yields

• Upside: Captures excess returns after senior obligations met

Token Distribution (Planned)

Note: Final token distribution and supply details will be announced in the upcoming token generation event (TGE).

Preliminary Allocation Framework:

• Community & Ecosystem: 40%

• Team & Advisors: 20% (4-year vesting)

• Treasury & Protocol Development: 20%

• Liquidity Mining & Incentives: 15%

• Early Backers: 5%

📜 Smart Contracts (Mantle Sepolia Testnet)

All contracts are deployed on Mantle Sepolia Testnet (Chain ID: 5003).

Core Protocol Contracts

DeFi Collateral Vaults

RWA Protocol Contracts

Collateral Assets

🚀 Vision

Our Mission

Orbit Finance aims to become the leading self-repaying lending protocol by creating a unified liquidity layer that bridges DeFi and Real-World Assets. We believe that sustainable, yield-backed borrowing is the future of decentralized finance.

Short-Term Milestones (Q1 2026)

• ✅ Launch on Mantle Sepolia Testnet

• 🎯 Achieve $1M+ TVL in combined DeFi + RWA collateral

• 🎯 Onboard 10+ institutional RWA originators

• 🎯 Complete security audits for mainnet deployment

• 🎯 Launch governance token and initial liquidity mining programs

Long-Term Vision

Institutional RWA Integration

• Partner with regulated asset originators (real estate, invoice financing, bonds)

• Build compliant on-chain/off-chain bridge for institutional capital

• Enable fractional ownership of high-value RWAs

Sustainable Yield Ecosystem

• Diversified yield sources across DeFi protocols and real-world cash flows

• Risk-adjusted tranching for different investor profiles

• Automated portfolio rebalancing for optimal yield generation

Cross-Chain Expansion

• Deploy on Ethereum, Arbitrum, Optimism, and other L2s

• Enable cross-chain collateral and yield aggregation

• Build interoperable RWA standards

Compliance & Regulatory Leadership

• KYC/AML-compliant flows for institutional participants

• Regulatory-friendly RWA tokenization framework

• Transparent reporting and audit trails

🛠 Technology Stack

• Smart Contracts: Solidity ^0.8.24

• Frontend: React + TypeScript + Vite

• Web3 Integration: Wagmi + Viem

• Blockchain: Mantle Sepolia Testnet

• Styling: TailwindCSS

📊 Key Features

DeFi Mode

• Deposit WETH/USDC as collateral

• Borrow orUSD against your deposits

• Automatic yield generation through vault strategies

• Self-repaying loans with zero manual intervention

RWA Mode

• Tokenize real-world income-generating assets

• KYC/AML-verified institutional access

• Senior/Junior tranche investments

• SPV-managed cash flow distribution

• Bundle pools for diversified RWA exposure

Hybrid Liquidity

• Combine DeFi and RWA collateral in a single account

• Cross-collateralization for improved capital efficiency

• Unified debt management across asset classes

🔐 Security

• All smart contracts follow industry best practices

• Comprehensive test coverage

• Audits planned before mainnet deployment

• Multi-sig governance for protocol upgrades

📄 License

MIT License - See LICENSE for details

🤝 Contributing

Contributions are welcome! Please read our contributing guidelines before submitting PRs.

📞 Contact & Community

• Website: [Coming Soon]

• Twitter: [Coming Soon]

• Discord: [Coming Soon]

• Documentation: [Coming Soon]

Built with ❤️ by the Orbit Finance Team

Revolutionizing lending through automatic debt repayment