# Glossary | Term | Definition | | ------------------------ | ----------------------------------------------------------------------------------------------------------------------------------- | | **Amortisation** | The process of reducing outstanding principal with each payment. Each EMI contains an interest component and a principal component. | | **Allowlist** | A list of approved investor addresses for permissioned vaults. Managed by the Pool Manager. | | **Basis Points (bps)** | A unit of measurement: 1 bps = 0.01%. An interest rate of 1000 bps = 10%. | | **Borrower** | A business that receives a loan through a Trilobyte vault and repays through incoming revenue. | | **Cash Pool** | The portion of each repayment allocated to the borrower (based on `100 - split_ratio`). Withdrawable by the borrower. | | **Collateral** | Tokens staked by Pool Managers as guarantee. Locked when a vault is created, released on repayment, slashed on default. | | **Credit Limit** | The maximum total outstanding principal a Pool Manager can have across all active vaults. Set by the Operations Admin. | | **Debt Token (tVLT)** | Non-transferable SEP-41 fungible token minted 1:1 with investor deposits. Represents the investor's share of the vault. | | **Default** | Triggered when a borrower fails to repay within the grace period. Results in collateral slashing and delinquency flagging. | | **Delinquency** | A flag applied to Pool Managers whose vaults have defaulted. Blocks new vault creation until cleared by Operations Admin. | | **EMI** | Equated Monthly Instalment — the fixed payment amount covering principal and interest, calculated using standard amortisation. | | **EMI Pool** | The portion of each repayment allocated to investors (based on `split_ratio`). Claimable pro-rata by investors. | | **Factory** | Smart contract that deploys new vault instances. Validates parameters and manager eligibility before deployment. | | **Finalized** | Terminal vault phase. All funds distributed or refunded. No further actions possible. | | **Globals** | Smart contract managing protocol-wide settings, roles, fees, asset whitelist, and pool manager collateral. | | **Governor** | The protocol administrator. In production, governance actions are routed through the Timelock for delay enforcement. | | **Grace Period** | Configurable window (default 30 days) after a missed payment before default can be triggered. | | **Investor** | An address that deposits funds into a vault and earns yield from borrower repayments. | | **Late Fee** | An 18% p.a. penalty applied by the Pool Manager when a payment is overdue. | | **Operations Admin** | Protocol role responsible for approving/removing pool managers, setting credit limits, and clearing delinquency. | | **Permissioned Vault** | A vault where only allowlisted addresses can deposit. Access controlled by the Pool Manager. | | **Permissionless Vault** | A vault where any address can deposit. | | **Pool Manager** | A professional underwriter who evaluates borrowers, structures loans, stakes collateral, and manages vaults. | | **Principal** | The total loan amount requested by the borrower and funded by investors. | | **Protocol Fee** | A 0.5% fee deducted from deposits and repayments, sent to the protocol treasury. | | **Renegotiation** | Process where the Pool Manager proposes new loan terms (rate + term). EMI is recalculated on outstanding principal. | | **Security Admin** | Protocol role with emergency pause/unpause powers. | | **SEP-41** | Stellar Ecosystem Proposal 41 — the fungible token standard on Stellar/Soroban. | | **Soroban** | Stellar's smart contract platform, providing a Rust-based execution environment. | | **Split Ratio** | The percentage of each repayment routed to the EMI pool (investor yield). The remainder goes to the cash pool. | | **Timelock** | Smart contract enforcing a minimum delay on governance operations before they can be executed. | | **Treasury** | The protocol address that receives protocol fees from deposits and repayments. | | **Vault** | A smart contract representing a single loan. Manages the full lifecycle from funding to repayment to settlement. | | **VaultPhase** | The current state of a vault: RaisingFunds, AwaitingApproval, Active, FullyRepaid, Finalized, Renegotiation, or Defaulted. | | **WASM Hash** | The hash of the compiled vault contract bytecode, used by the Factory to deploy new vault instances. | --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. 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