Introduction
cSigma Institutional
The institutional lending and strategy execution layer of the cSigma Protocol — connecting institutional lenders and borrowers within a unified, onchain credit infrastructure.
It serves as the core backend that powers capital deployment for Edge Pools, csUSD Vaults, and csLYD Vaults, bridging real-world and onchain yield opportunities under a single, transparent framework.
Overview
Institution layer enables institutional borrowers and asset managers to access liquidity from cSigma’s vaults and deploy it across a range of strategies — from real-world asset (RWA) financing to onchain yield farming and DeFi structured products.
Each borrower or asset manager operates through a dedicated child pool, where funds are borrowed, deployed, and tracked onchain, ensuring accountability and transparency across all capital flows.
How It Works
Liquidity Source: cSigma Institutional aggregates capital from Edge Pools, csUSD Vaults, and csLYD Vaults.
Borrower Access: Approved institutional borrowers and Asset Managers can draw liquidity from their designated child pools to fund real-world loans or yield-generating strategies.
Credit Rating: Each borrower undergoes evaluation through cSigma’s AI-assisted credit rating system, which continuously assesses risk using both onchain performance and offchain credit data.
Fund Deployment: Borrowers and asset managers allocate borrowed funds into RWAs, DeFi protocols, or structured yield positions according to predefined mandates.
Repayments & Reporting: Interest and principal repayments flow back to the respective vaults, and all activity is recorded onchain for full transparency.
Why cSigma Institutional Matters
Institution forms the connective tissue of the cSigma ecosystem, enabling:
Institutional-grade capital efficiency across RWAs and DeFi.
AI-driven credit risk evaluation for borrowers and asset managers.
Unified capital flow management across Edge, csUSD, and csLYD vaults.
Full transparency and monitoring through onchain reporting and oracles.
Role in the cSigma Ecosystem
Edge pools, csUSD, and csLYD act as front-end liquidity layers, gathering user deposits.
cSigma Institutional acts as the execution and credit layer, where institutional borrowers and asset managers deploy funds responsibly into yield-generating opportunities.
This architecture ensures secure, diversified, and scalable yield generation across both offchain (RWA) and onchain (DeFi) environments.
Integration with Asset Managers
Even on-chain strategy managers within the csUSD and csLYD ecosystem interact with Institutional platform. Each Asset Manager operates its own Institutional Child Pool, borrowing capital from the system to deploy into on-chain yield strategies (e.g., market-neutral, lending, or structured yield positions). This unified design ensures that both real-world and on-chain yield strategies are managed through the same institutional-grade infrastructure.
Together, they form the cSigma Institutional Stack — a fully transparent, modular, and credit-aware infrastructure connecting user liquidity with high-quality yield opportunities worldwide.
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