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.