FAQs
Last updated
Last updated
Q.1: What is HyDRAULIC?
It's a Web3 platform using blockchain & DeFi to unlock cash from your Intellectual Property (IP)! Think loans backed by patents, trademarks etc.
Q.2: What problem does HyDRAULIC solve?
Makes it easier for IP owners to get loans! Turns intangible IP into liquid assets.
Q.3: How does HyDRAULIC turn IP into collateral?
We represent verified IP rights as NFTs on the blockchain. These IP NFTs can then be used as collateral for loans
Q.4: How is IP valued on HyDRAULIC?
We use a mix: 3rd party experts, AI analysis , and our unique with input from many IP pros!
Q.5: P2P vs P2Pool loans - What's the difference?
P2P: Direct loan between YOU and ONE lender.
P2Pool: Borrow from a large pool funded by MANY liquidity providers (LPs)
Q.7: Who is HyDRAULIC for?
IP Owners (creators, businesses), Investors/Lenders, Liquidity Providers, Legal/Financial Pros involved in IP.
Q.8: What's the $DRAU token for?
$DRAU is our utility token! Used for:
Paying platform fees (valuation, loans)
Staking (potential requirement for pros/users)
Q.9: How can I lend or provide liquidity?
P2P: Fund a specific loan request directly.
P2Pool: Deposit funds (e.g., stablecoins) into a liquidity pool to earn passive interest.
Q.10: What are the risks for BORROWERS?
Main risk: Defaulting on your loan! If you miss payments past the grace period, you could lose your IP NFT collateral.
Q.11: What are the risks for LENDERS / LPs?
Main risk: Borrower default.
P2P: You get the NFT, but need to monetize it.
P2Pool: Loss is shared, but depends on selling the defaulted NFT via auction/sale. Also, general DeFi risks (smart contracts).
Q.12: What happens if a borrower defaults?
After a grace period, liquidation starts:
P2P: NFT usually goes to the lender.
P2Pool: NFT goes to a protocol contract for auction/sale to repay the pool.
Q.13: How secure is HyDRAULIC?
We focus on security via: audited smart contracts, blockchain transparency, secure off-chain processes. Always DYOR & check our audits!
Q.14: Is the IP NFT value static?
For triggering liquidation, YES (based on initial valuation ). Liquidation only happens on payment default. But the final sale price during liquidation depends on the market then .
Q.15: Which blockchain does HyDRAULIC use?
Initially on Polygon, with plan for multichain deployment. Check our official announcements for further up to date info!
Q.16: How do I get started?
1. Get a Web3 wallet (e.g., MetaMask) .
2. Visit our official dApp/platform.
3. Connect wallet & explore! (Valuation, borrow, lend, pool). Read guides first!
Q17: What fees are there?
Expect fees like:
Valuation Fee
Loan Origination Fee
Interest (paid by borrower)
Potential Liquidation Fees
Standard blockchain gas fees.
Check our official Fee Schedule doc for details!
Q18: Does the NFT mean full ownership? Keep usage rights?
NFT = Collateral right mainly. Borrower usually keeps using the IP during the loan (unless default). Default means lender/pool gets control of the NFT
To learn more about our team and work check out our core business website FAQs via the link below.
Rewards (for valuators, LPs etc) (Check official for full details!)