Key Mechanisms & Glossary

Glossary

Central Credit Vault

The Central Credit Vault is Spine’s unified liquidity engine. It aggregates deposits from lenders and dynamically allocates capital across:

• Fixed-rate Credit Books,

• Integrated yield sources (Morpho, Euler, strategies),

• Curated asset baskets,

• Different maturities and collateral types

LPs gain 100% flexibility over how their liquidity is deployed. They can choose which markets, terms, and assets to support - or allow automated allocation for optimized real yield and diversified risk. The vault continuously routes liquidity where it is most productive while maintaining instant entry/exit for all participants.

Credit Book

Spine’s fixed-rate markets, structured like an onchain credit orderbook. Each book has:

• Clear maturities (30D, 90D, 180D, etc.)

• Dynamic rate levels

• Curated liquidity depth

Borrowers get instant, predictable fixed-rate execution, with continuous availability powered by automated liquidity routing from the Central Credit Vault. LPs choose any books they want to support - duration, asset mix, and risk exposure are fully modular.

Curators

Curators are responsible for designing and governing the structure of credit markets within Spine. They define the key parameters for each such as collateral assets, maturities, and liquidity allocation to ensure that these settings remain coherent and aligned with the intended risk profile. Curators provide ongoing oversight, update configurations based on market conditions, and maintain the operational integrity of their markets.

Spine Vaults

Spine Vaults offer a passive and efficient way to earn fixed-rate lending yield across multiple Spine Markets. Users deposit into a Vault managed by curator.Each Vault focuses on a single lending asset and allocates that asset across multiple borrow markets. Yield is generated from borrower interest payments, and users retain full control over their fixed-rate positions with the ability to withdraw at any time, subject to liquidity availability.

Integrated Yield Source

Curators can choose to deploy idle liquidity to external variable-rate lending protocols such as Morpho, Euler, etc to ensure liquidity efficiency and additional rewards for users.