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Buy Now Pay Later (BNPL)

BNPL lets you purchase HYPE tokens by making a down payment in stablecoins and financing the rest. The protocol lends you the difference through its origination pools, and you repay it monthly over 36 periods — similar to a traditional installment purchase.

Step by Step​

  1. Navigate to /borrow and select the "Buy Now Pay Later" tab.

  2. Enter your order. You have two input fields:

    • Buy — The amount of HYPE you want to purchase. Enter this first and the down payment auto-calculates, or vice versa.
    • Down Payment — The stablecoin amount you pay upfront (in USDT0, USDC, USDH, or USDX). This is a fraction of the total purchase price; the protocol borrows the rest from lending pools on your behalf.

  3. Review your Payment Plan. The UI shows three key numbers:

    • Total Payments — 36 monthly periods
    • Monthly Payment — Your fixed monthly obligation in USDX (calculated as totalDebt / 36)
    • Borrow APR — The annual interest rate on the borrowed amount (simple interest)

    The total debt is calculated using simple interest:

    totalDebt = borrowed * (1 + APR * years)

  4. Optionally enable Conversion. Toggle "Enable Conversion" to allow automatic debt reduction if HYPE appreciates past the Conversion Trigger Price. The trigger price is displayed next to the toggle. If HYPE reaches that price, the protocol can convert some of your collateral to pay down your loan automatically.

  5. Set a Mortgage ID. Either type a custom identifier or click the generate button for a random one.

  6. Submit. The button progresses through stages:

    • Connect — Connect your wallet via RainbowKit
    • Approve — Approve the Router contract to spend your stablecoin (includes a slippage buffer)
    • Request Mortgage — Submits the mortgage request on-chain

  7. Wait for fulfillment. Orders take approximately 60 seconds to fill. If the order doesn't fill before the expiration window (default: 5 minutes), all funds are refunded. You cannot cancel during the fill window.

  8. Your position is created. Once filled:

    • A Mortgage NFT is minted to your wallet
    • HYPE collateral is locked in the SubConsol escrow contract
    • Your loan is now active — make monthly payments on the /manage page

How It Works Under the Hood​

The protocol distributes your borrow across one or more Origination Pools (lender-funded pools). Each pool has a capacity limit and a multiplier that determines how much down payment is required relative to the borrowed amount. If one pool can't cover the full borrow, the system draws from the next pool until the order is filled.

Key Differences from Compounding​

  • You are buying an asset you don't yet own (with credit)
  • You pay a down payment in stablecoins, not a deposit of the collateral itself
  • Conversion is optional (off by default)
  • A payment plan is always required (you must make monthly payments)