# 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.