FAQ

What is RAVA?

A liquidation aggregator for RWAs. One feed shows every RWA position eligible for liquidation across Aave, Morpho, and Euler. You can liquidate with your own capital, or borrow from the RAVA lend pool to size up.

Do I have to use leverage?

No. The default flow is the same as any other liquidation tool. Repay debt, receive collateral. Leverage is an opt in toggle in the acquire flow.

How does the leverage work?

Toggle it on in the acquire flow. RAVA quotes a loan to value for the position. The lend pool funds the loan, you post the rest as collateral.

The loan is full PIK: no cash payments during the holding period, interest accrues to the loan principal. At exit you repay loan + accrued PIK in one settlement.

Rate is base + spread. Spread starts at 300bps. Each missed issuer redemption window adds 300bps. After three missed windows, the pool forecloses. Full schedule in Liquidations.

What's the offered LTV based on?

Underwritten by Ravariant Labs. You see one number per opportunity. The mechanics behind it stay internal.

What assets are covered?

RWAs that trade as collateral on Aave, Morpho, and Euler. The current set includes ACRED, MGLOBAL, and PEAK.

How do I exit the position?

Two ways. Hold to the issuer's next redemption window and convert at NAV. Or sell on chain at the current price. Most positions have monthly or quarterly redemption windows.

What happens if the trade loses money?

Your collateral takes the first hit. If you used leverage, the lend pool absorbs any loss beyond your collateral. The pool never lends past what RAVA judges safe.

How does the lend side work?

Deposit USDC into the lend pool. Capital auto loans to liquidators on every acquisition that uses leverage. You earn loan interest plus a share of realized profit. Idle capital is withdrawable at any time.

Is this custodial?

No. Liquidation settlement happens on the source venue. The lend pool runs as a smart contract. RAVA does not hold your funds.