Making underfunded offers

Underfunded Offers

Underfunded offers are loan offers made without sufficient wallet balance to cover the loan principal. These offers remain invisible to borrowers until the wallet balance has enough funds to cover the loan principal.

An underfunded loan offer

Scenarios for Underfunded Offers

1. Making Multiple Active Offers with One Being Accepted

A lender has 10 WETH in their wallet and makes two active loan offers of 10 WETH each. Once the first loan offer is accepted, the second offer becomes underfunded and will be invisible to borrowers.

2. Making Offers Without the Loan Principal Amount in the Wallet

A lender makes loan offers without having the principal amount in their wallet. These offers are displayed as underfunded to the lender and will be invisible to borrowers. This can be used to prepare offers in advance while waiting for a repayment or a transfer of funds from another wallet.

Activation of Underfunded Offers

Underfunded offers become active and visible to borrowers once the lender’s wallet has been adequately funded. The system automatically updates the status of the offer from underfunded to active.

An active loan offer

Management and Cancellation of Underfunded Offers

Underfunded and active offers can be found, edited, or canceled in the “Offers Sent” section of the dApp or on the asset page where the offer was made.