Stormbit

Stormbit is a time-based lending infrastructure. Every loan is mathematically priced: risk is managed by time, not forced liquidations. Borrowers pay an upfront premium based on real market volatility—no hidden fees, no surprises—while lenders are transparently compensated for the risks they underwrite. Our open, configurable platform delivers fairness to both sides and will offer automated services to make loan management seamless and secure.

Our thesis

The Road to Trillions in DeFi Lending

1) Time-Priced Lending Innovation

Stormbit enables Lending Managers to create fixed lending terms priced precisely by loan-to-value (LTV) and duration. Our pricing model embeds the core risk component: a premium based on market volatility, paid upfront by the borrower. This premium serves as a protection shield for lenders — compensating them for the risk of borrower default during the term.

Lenders can choose their risk management approach:

• Buy options as direct hedge instruments

• Dynamically delta-hedge using perpetual futures

• Opt for a passive approach, effectively placing a limit order to buy collateral at maturity

• Or adopt tailored mixes of these strategies

2) Fair, Transparent Market-Driven Pricing

Stormbit treats every loan like insurance: risk-based premiums directly reflect real-time market volatility, ensuring fairness and transparency. Borrowers know upfront exactly what their cost will be with no hidden fees or surprises. Lenders are incentivized and rewarded to actively manage the volatility risk embedded in their loan portfolios.

This clear, market-driven pricing paradigm realigns incentives and fosters stability across all participants.

3) Unlocking True Capital Efficiency

Our model empowers borrowers to access significantly higher LTV ratios by paying the appropriate risk premium upfront. This shifts risk management fully onto lenders, enabling borrowing with less collateral locked and zero forced liquidations during the term.

Borrowers gain peace of mind, avoiding sudden margin calls or fire sales — a paradigm shift away from liquidation-driven lending toward confidence and capital efficiency.

4) A Paradigm Shift Empowering Risk Underwriting at Scale

Stormbit’s unique infrastructure and tooling (including advanced risk copilots) enable any lender to become their own risk underwriter, customizing risk approaches for fair outcomes. Our configurable, automated services support scalable, fair lending management.

Removing forced liquidations frees retail participants from ruin risks, creating a safe onramp for mass institutional capital. With robust risk pricing and automation, Stormbit aims to enable trillions of dollars flowing safely and efficiently into DeFi lending.

5) Aligning Wins for All DeFi Participants

This approach lifts all boats — retail is the safe party, institutions provide capital and risk sophistication, and the protocol guarantees transparency and fairness. If lenders are empowered to price risk and manage portfolios safely without liquidations, we win together, unlocking massive growth and adoption.

Stormbit is building the infrastructure and ecosystem to realize this vision and scale DeFi lending into the trillions, making it accessible, efficient, and trusted.