# Overview

### **Banx** is a modular peer-to-peer lending protocol.

On Banx, borrowers and Lenders choose their risk/reward (LTV/APR), anywhere from very low to very high.

* Banx is **perpetual**: no expirations, and no time-based liquidations
* Banx is **p2p**: no price oracle, no price-based liquidations.
* Banx is an **orderbook**: users may determine yield/interest individually
* Banx is **modular**: Banx vaults offer users the **same passive experience** as traditional lending pools with the notable improvements.

### Borrowing on Banx

On Banx loans are **perpetual**: they have no fixed duration.

As the borrower, you can repay and exit **any time**. Interest rate is set once you borrow, and accrues only for the time your borrow.

### Refinancing 

Lenders can sell their loans into offers with matching parameters. If no suitable offers present, lenders can send borrowers **refinancing calls** indicating they wish to exit. The loan will be sent to the refinance auction, where it will be offered to other lenders on the same terms.

The auction continues until a new lender refinances, or the borrower extends to a new offer. If neither happens after **72 hours**, the collateral will be liquidated to the lender.

### Lending on Banx

#### Lending in an orderbook:

Lenders can create offers for any asset they want to lend against. Loan requests are fulfilled by the **closest offer value**, meaning the highest offer isn’t necessarily the one that is taken.

Once an offer is taken, the **APR becomes fixed**. 

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#### Lending in a [vault](https://docs.banx.gg/banx-protocol/vaults)

Lenders can deposit liquidity into vaults managed by Curators, **earning passive yield** as their funds are utilized in loans. In return, they share a portion of the performance fee with the Curator.