Protocol Architecture

How The Xpfinance Protocol Is Designed

Xp.Finance operates entirely on-chain, leveraging on-chain scripts for all interactions:

• Liquidity Pools: Community-driven pools where users deposit or borrow funds securely.

• NFT Bonds: Tokenized, transferable loan positions enabling flexible debt trading.

• LP Tokens: Represent user deposits proportionally, ensuring transparent management and easy redemption.

• Collateralization Mechanism: Strict overcollateralization policies maintain platform solvency and user protection.