Granite.world

Granite has received a rock-solid security review from Clarity Alliance, bringing us one step closer to our protocol launch 🧗

As part of the code review, no critical bugs were uncovered. Several findings from Low to High severity were identified and resolved ✅

Granite is audited to the core 🪨

To date, we have received several audits and code reviews to ensure your Bitcoin remains as safe as possible.

Review the Clarity Alliance report: https://github.com/GraniteProtocol/audits/blob/main/2024-10-11%20Granite%20Audit%20-%20Clarity%20Alliance.pdf

Returns come from risk. Any protocol that gives a return on collateral (outside of token incentives) is taking risks with that collateral. At Granite, we're focused on mitigating these risks.

This is why you don't want rehypothecation 🧵

Imagine being unable to withdraw your assets from a protocol because those assets are being lent out to someone else.

This is called liquidity risk, which may impact a liquidity provider (LP) if a protocol is not properly managing this risk.

Lending protocols usually manage this risk using interest rate curves.

But this is imperfect and still entails risk, which is why LPs are paid a return on their capital. By depositing capital to be lent out, LPs also opt in to this liquidity risk and the commensurate returns.

Rehypothecation refers to the practice of lending out a borrower’s collateral to generate returns.

Most lending platforms operate this way, effectively turning borrowers into de facto lenders. Borrowers face the same liquidity risk as LPs, often without realizing it.

How can this manifest?

A borrower might repay their loan and attempt to withdraw their collateral, only to discover that insufficient collateral remains in the protocol since it has been lent out.

Borrowers must remember: returns come from risk.

Any protocol that gives a return on collateral (outside of token incentives) is taking risks with that collateral. 

Simply put, Rehypothecation of collateral leads to borrower liquidity risk.

Granite has focused on mitigating the biggest risks associated with lending and borrowing in order to build the only protocol that we would use with our Bitcoin.

No Rehypothecation 🪨

Bitcoin lending today has too many unnecessary risks:
👎 Rehypothecation
👎 Shared asset pools that mix high & low-quality assets together
👎 Unexpected and total liquidation of collateral
👎 Centralized platforms + wrappers

Bitcoin lending requires a significant upgrade and Bitcoiners deserve a trustless, secure solution to safely deploy their BTC.

Granite will put borrowers first:
🪨 No rehypothecation
🪨 Liquidation to solvency
🪨 Offline position tracking
🪨 Decentralized and non-custodial


🪨 No rehypothecation
Granite NEVER lends out borrowers' collateral and only has a single borrowable asset per market. This eliminates the typical "pooled risk" model that exposes a protocol's users to the downside of the riskiest pool assets.

🪨 Liquidation to solvency
Many other protocols will liquidate 50-100% of a loan position; a significant loss that can have cascading effects for an entire protocol. Granite minimizes losses with gradual liquidations limited to only the amount required to restore LTV.

🪨 Offline position tracking
Granite's frontend will feature push notifications that track account health and interest rates, enabling borrowers to relax and receive relevant account alerts instead of staying glued to their screens.

🪨 Decentralized and non-custodial
Granite runs autonomously on the Stacks network. We will be using sBTC for our bridge, an open-source Bitcoin bridge secured and managed by an open network of validators via a threshold signature script on Bitcoin.


Our unique framework paves the way for true Bitcoin lending.

Granite lets you participate in the Bitcoin economy without ever having to sell your bitcoin. Granite changes the game for every Bitcoin HODLer seeking liquidity without needing to sell.

Granite is coming soon.

Follow us to get a first look at early access 👀

NEVER SELL 🪨

ANNOUNCING: Granite, a new era for Bitcoin lending.

We're building a Bitcoin lending protocol that Bitcoiners will actually want to use. Non-custodial bridges. Push notifications. No rehypothecation.