> For the complete documentation index, see [llms.txt](https://docs.untitledbank.co/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.untitledbank.co/core-concept/markets.md). # Markets At Untitled Bank, anyone can create a **Market** by leveraging the platform's modular components. Each Market matches lenders, borrowers, and Bank Operators in a **permissionless and overcollateralized** manner. Markets are fully customizable with components like Interest Rate Models (IRM), Oracles, and asset selection, ensuring flexibility and optimization for various financial strategies. * **Permissionless Market Creation**: Design efficient Markets with tools like IRMs, Oracles, and various loan and collateral assets. * **Risk Isolation**: Each Market operates independently, with unique Loan-to-Value (LTV) ratios for specific loan and collateral assets, ensuring that risk is siloed within the individual Market. * **Optimized Liquidity**: Modular structure ensures enhanced liquidity utilization, maximizing returns for participants. Once a Market is live, Bank Operators can allocate a portion of their vault's assets as loan assets for the Market, tailoring their exposure to meet specific lending needs. Untitled Bank introduces a **Layered Market Structure** to solve liquidity fragmentation in modular lending, where multiple markets with identical asset pairs create inefficiencies. Our Core Market feature aggregates markets with the same collateral-loan asset pairs and, governed by DAO whitelisting, optimally distributes borrow orders across approved markets, providing users with a unified liquidity experience that combines the benefits of both modular and monolithic lending. #### **Users Can** * **Create** efficient Markets with provided tools like IRMs, Oracles, and assets. * **Borrow** assets from a Market, considering its unique risk profile and interest rate model. * **Bundle** transactions for gas-efficient and hassle-free engagement. * **Access** aggregated liquidity across whitelisted Markets through the Core Market. *** #### **Glossary** * **Market**: A lending marketplace built on the platform using modular components such as IRMs and Oracles. * **Bank Operator**: A manager who allocates loan assets from their vault to a Market. Untitled Bank’s modular Markets empower users to operate with flexibility while ensuring security through risk isolation, creating a scalable and inclusive DeFi ecosystem. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter: ``` GET https://docs.untitledbank.co/core-concept/markets.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.