Collateral Tokens

Within the KEI Protocol, "Collateral Tokens" refer to a select group of assets from the Hyperliquid ecosystem that are eligible to be used as collateral for minting KEI Stablecoin. These tokens are integral to the functioning of the KEI Protocol, providing the necessary security and value backing required for stablecoin issuance. HYPER being the flagship token of the Hyperliquid Blockchain will serve as Keiko's primary collateral token with an attractive Loan-to-Value (LTV) ratio of 90%, making it a cornerstone in the collateral framework of the Keiko Protocol. By allowing such a high percentage of borrowing capacity the protocol allows users to leverage their holdings efficiently while maintaining robust security measures.

Expansion of Collateral Options

As the Hyperliquid ecosystem matures, KEI Protocol plans to support additional tokens as part of its collateral portfolio. The inclusion of new tokens will be carefully considered, based on comprehensive protocol security measures and empirical data analysis. The LTV ratios for these new tokens will vary, reflecting their respective market behaviors and risk profiles. This strategic approach ensures that the expansion of collateral options remains aligned with maintaining the stability and integrity of the KEI Stablecoin.