Protocol V2 Live: Hostile Refinancing Active

Liquidity with a
Hostile Twist.

Unlock liquidity from your Polymarket positions. Experience a competitive debt market where anyone can buyout your loan to keep you alive.

Enter Marketplace How Buyouts Work
50%
Target LTV
24h
Buyout Window
Polygon
Network
<1s
Settlement

The Liquidity Paradox

Traditional State

Trapped Capital

You hold $1,000 in a winning position. To get cash today, you must sell early and forfeit your future profits.

Illiquid Locked

PolyLoans State

Liquid Leverage

Deposit shares. Borrow $500 USDC immediately. You keep the exposure. You keep the upside. You get the cash.

Instant Cash Retain Upside
The Killer Feature

Hostile Refinancing (Buyouts)

Most protocols are "take it or leave it." PolyLoans creates a competitive market for debt. If one lender rejects you, another can steal the deal.

01. The Conflict

Extension Rejected

You can't pay your loan on time. You ask for 30 more days. The original lender is impatient and clicks Reject.

Normally, this means immediate liquidation.

02. The Buyout Window

Market Opens

Instead of dying, the loan enters a Grace Period. It is now flagged as "Distressed" on the marketplace.

Any third-party lender can now intervene.

03. The Steal

Hostile Takeover

A "Shark" (Lender B) sees the opportunity. They call buyoutLoan(). They pay off the Old Lender instantly.

Result: Old Lender exits. New Lender enters. Borrower survives with extended time.

The 50% LTV Thesis

Prediction markets are volatile. To protect solvency, we encourage a 50% Loan-to-Value ratio.

  • 🛡️

    Safety Buffer

    A 50% buffer ensures the lender is safe even if the share price drops significantly.

  • 💰

    The Incentive

    If a borrower defaults, the lender seizes 100% of the collateral. Effectively buying the asset at a 50% discount.

Loan Value Collateral Value
$500
USDC Borrowed
$1,000
Share Value

How it Works

01

Request

Connect wallet. Scan Polymarket portfolio. Select shares and request a loan (e.g. "Pledge 1k shares for $500").

02

Negotiate

Lenders fund your request instantly or propose a counter-offer.

03

Escrow

Smart Contract swaps assets. Shares locked in Vault. USDC sent to your wallet instantly.

04

Refinance / Resolve

Repay to unlock. If stuck, request extension. If rejected, wait for a Hostile Buyout or face liquidation.