General

Monroe Protocol is a decentralized stablecoin protocol that mints synthetic assets following an oracle price feed that can be decentralized or centralized. There are various mechanisms used and these will be covered in concepts

Monroe Overall Schema

Each synthetic asset ecosystem is made of:

• An omnichain synthetic token

• Collateral vaults that receive tokens that can be non-yielding or yielding such as LSTs to mint synthetic debt

• A safety pool for each collateral vault, holding a single collateral

Use Case

• Cheap Leverage: Collateralise to mint for free RoeUSD in exchange for Protocol being to distribute yield. User can use RoeUSD to swap for Token and mint more RoeUSD and swap again for Token to increase delta exposure

• Safe Additional Yield: Deposit in Safety Pool for additional yield without price risk

• Omnichain Farming: Collateral stays on home chain, RoeUSD is bridged across to different chains to take part in farming opportunities