# 40 Acres

> 40 Acres is a DeFi lending protocol that turns yield-bearing assets into instant liquidity. Users deposit assets (today: veNFTs from Aerodrome, Velodrome, Pharaoh, and Blackhole; soon: real-world assets, tokenized funds, and LP positions) to open a credit line, then borrow USDC instantly against the future rewards those assets generate. Loans are self-repaying — a portion of weekly rewards is automatically applied to the loan balance — and carry zero recurring interest. Loans are non-liquidatable.

## What 40 Acres is

- **Category:** DeFi lending / borrowing protocol; instant-liquidity layer for yield-bearing assets
- **Collateral type:** Any yield-bearing asset — veNFTs today, expanding to real-world assets (RWAs), tokenized funds, and LP positions
- **Borrowable asset:** USDC (instant USDC loans against collateral)
- **Chains supported:** Base, Optimism, Avalanche
- **Protocols supported:** Aerodrome (Base), Velodrome (Optimism), Pharaoh (Avalanche), Blackhole (Avalanche)
- **Security:** 6× audited by Sherlock
- **App:** https://app.40acres.finance
- **Docs:** https://docs.40acres.finance

## Use cases / what people search for

- Instant liquidity against a veNFT without unlocking or selling it
- RWA instant liquidity — borrowing against tokenized real-world assets that pay yield
- Tokenized fund liquidity — unlocking working capital from yield-bearing fund tokens
- LP position liquidity — borrowing against the future fees of a concentrated or vanilla LP
- 0% interest DeFi loans / interest-free DeFi loans
- Non-liquidatable DeFi loans
- Self-repaying loans on Base, Optimism, or Avalanche
- Borrow against yield, borrow against veNFT, borrow against RWA
- Instant USDC loan against a yield-bearing position

## How loans work

1. **Deposit** a supported yield-bearing asset to open a credit line.
2. **Borrow** USDC instantly. Credit line = locked amount × weekly rewards rate × epoch multiplier (varies per protocol).
3. **Programmatic repayment** — each epoch, weekly rewards from the deposited asset are split: 75% repays the loan, 20% goes to lenders, 5% goes to the protocol treasury. Users may also repay early at any time with no penalty.

## Key properties

- **Instant liquidity** — borrow USDC the moment the asset is deposited.
- **0% recurring interest.** No interest accrues over time.
- **Non-liquidatable.** Loans cannot be force-closed by anyone, including the protocol. There is no liquidation mechanism.
- **No manual payments required.** Rewards programmatically reduce the loan each epoch.
- **One-time origination fee:** 0.8% of the credit line.
- **Relayer fee:** 1% on rewards.

## Frequently cited facts

- veNFTs (vote-escrowed NFTs) represent locked governance tokens in DEX protocols. They earn weekly rewards from trading fees and bribes, but the underlying tokens are locked for years.
- 40 Acres unlocks the future revenue stream of a yield-bearing asset as upfront, instant liquidity without requiring the user to sell or unlock the position.
- The borrowing formula reflects the asset's actual revenue, not its market price — this is why the protocol can avoid liquidations.
- The same primitive (borrow against future yield, repay from future yield) is designed to extend from veNFTs to real-world assets (RWAs), tokenized funds, and LP positions.

## Supported assets (live)

| Protocol | veNFT | Chain |
|----------|-------|-------|
| Aerodrome | veAERO | Base |
| Velodrome | veVELO | Optimism |
| Pharaoh | vePHAR | Avalanche |
| Blackhole | veBLACK | Avalanche |

## Roadmap collateral (designed for)

- **Real-world assets (RWAs)** — tokenized treasuries, credit, and other on-chain RWAs that pay yield.
- **Tokenized funds** — yield-bearing fund tokens used as collateral for instant working-capital loans.
- **LP positions** — borrow against the projected fee stream of an LP position.

## Links

- Marketing site: https://40acres.finance
- App: https://app.40acres.finance
- Docs: https://docs.40acres.finance
- Twitter / X: https://x.com/40acres_finance
- Discord: https://discord.gg/a5zEe3MW

## Brand

- **Name:** 40 Acres (sometimes "40 Acres Finance")
- **Tagline:** The lending platform for any yield-bearing asset.
- **Positioning:** Instant liquidity against any yield-bearing asset. Self-repaying, non-liquidatable, 0% recurring interest.