Nolus Docs
Protocol

Overview

What Nolus is and the moving parts that make it work.

What Nolus is

Nolus is a sovereign blockchain with a CosmWasm money market focused on fixed-rate, asset-backed spot margin. Instead of issuing a generic collateralized loan that can be margin-called and liquidated, Nolus opens a lease - a position that holds the asset the borrower takes exposure to, until the borrower closes it. The same primitive supports both longs and shorts.

Opening a position combines two pieces of capital:

  • a down payment the borrower puts up as collateral, in whichever currency they choose
  • a borrowed amount drawn from the Liquidity Provider Pool (LPP)

The down payment and the borrowed amount are swapped together into the lease currency - the asset the position holds for its lifetime.

The lease is its own on-chain CosmWasm contract instance. It tracks debt, margin interest, and the lifecycle (open → active → close) without ever forcing a liquidation in the traditional sense.

The moving parts

The protocol surfaces as a small set of CosmWasm contracts and a few chain-level pieces:

ComponentSourceRole
Leasernolus-money-market/protocol/contracts/leaserFactory that instantiates new Lease contracts and tracks the open set.
Leasenolus-money-market/protocol/contracts/leaseOne contract per position. Holds the lease asset (post-swap), accrues interest, handles repayment, close, and liquidations.
LPP (Liquidity Provider Pool)nolus-money-market/protocol/contracts/lppSingle-sided lending pool - lenders deposit, the pool extends loans to leases.
Oraclenolus-money-market/protocol/contracts/oracleOn-chain price oracle. Receives spot prices from feeders and produces an EMA used by leases.
Profitnolus-money-market/protocol/contracts/profitRoutes protocol revenue.
Reservenolus-money-market/protocol/contracts/reserveBackstop pool, used when a lease closes underwater.
Treasurynolus-money-market/platform/contracts/treasuryHolds protocol-owned NLS, drives long-term economic flows.
TimeAlarmsnolus-money-market/platform/contracts/timealarmsGeneric on-chain scheduler - contracts subscribe to time-based callbacks.
Adminnolus-money-market/platform/contracts/adminRegistry of every platform and per-protocol contract; coordinates atomic CosmWasm migrations across them. Driven by chain governance (SudoMsg), holds no user funds.
Oracle Price Feederoracle-price-feederOff-chain daemon that publishes signed spot prices to the on-chain Oracle.
Nolus Corenolus-coreThe chain itself - Cosmos SDK + CometBFT plus custom modules.

Why this design

Two practical consequences:

  • Partial liquidations first. When a position's LTV crosses the max threshold, the protocol sells just enough of the lease asset to bring the ratio back to the healthy band. Full liquidation only kicks in when a partial sale can't restore the invariant. See Risk for the full mechanism.
  • Self-contained accounting. Each Lease is its own contract, so debt, interest, and lifecycle state stay isolated per position. The Leaser tracks the active set; everything else lives in the Lease.

Where to go next

On this page