Prediction Market Lending Protocol

Make prediction market shares productive

Borrow and leverage using your positions as collateral - powered by zkTLS proofs. No intermediaries. No custody.

Close-up of a digital market chart on a trading screen
Core Features

Liquidity, yield, and leverage for every position

Borrow against active trades, earn from real demand, or add size when conviction is high.

Borrow

Borrow USDC against your market positions without closing the trade. Keep your exposure, unlock liquidity, and repay when it suits you.

Keep the position. Get the cash.

Lend

Supply USDC to fund real borrower demand from active prediction markets. Your returns come from market activity, not the next crypto cycle.

Earn from world events, not crypto market volatility

Leverage

Increase exposure to your highest-conviction markets in one flow. Add size without needing twice the capital up front.

Double down without doubling your capital
The Problem

Billions locked in idle positions

Position shares (ERC-1155) across prediction markets have no utility beyond their outcome bet. They can't be used as collateral, can't generate yield, and can't be leveraged.

$460M

unproductive TVL in prediction markets*

* Polymarket + OPINION only

Security & Trust

Risk controls built into the protocol

Collateral stays user-controlled, risk is managed over time, and markets are screened before they are ever accepted.

Non-Custodial

Your collateral remains under smart contract rules, not platform custody. The protocol does not rely on a central party to hold user assets.

Temporal LT Decay

As resolution gets closer, liquidation thresholds tighten automatically so risk is reduced before the market outcome is known.

Market Whitelisting

Only markets with adequate volume, depth, and liquidity are accepted, reducing manipulation risk and improving liquidation quality.

Redundant Verification

Multiple zkTLS providers reduce reliance on any single source and help keep verified pricing available when one provider fails.

FAQ

Frequently asked questions

ylop is a decentralized, non-custodial lending protocol purpose-built for prediction markets. It enables users to borrow USDC against their prediction market positions, lend to earn yield, and leverage their exposure - all powered by zkTLS proofs for trustless price verification.
Users generate a ZK proof confirming the current market price of their shares as reported by the prediction market API. This proof attests that the HTTPS response originated from the official API. The proof is verified on-chain during the user's transaction - an on-demand model that eliminates the need to continuously push price updates on-chain.
Markets are whitelisted via governance based on volume, liquidity, and order book depth. The protocol is designed to support any prediction market platform that uses standardized share tokens. Minimum thresholds are enforced to prevent market manipulation and ensure smooth liquidations.
The protocol uses multiple risk management mechanisms: Temporal LT Decay automatically reduces the liquidation threshold as events approach resolution, ensuring positions close before outcomes. Market whitelisting ensures only liquid markets are used. Flexible liquidation mechanisms ensure efficient position unwinding. And portfolio-aware LTV rewards collateral diversification across market categories.
There is no token at this time. We are focused on building the core protocol and delivering the best lending infrastructure for prediction markets.
Apply for early access below to be first in line when we launch. We'll notify you via email with early access details, updates on development progress, and opportunities to participate in the protocol's growth.

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Apply for early access when ylop launches.

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