Giga CDP of Enjoyoors

The Giga Collateralized Debt Position (Giga CDP) is the central structural component of rehypothecation. It comprises all protocol vaults, with various assets deposited by users (acting as collateral) and a basket of synthetic gigaAssets issued against these funds by the protocol. The protocol has exclusive control over the Giga CDP, and this management function serves as its primary purpose.

Generally speaking, the concept of CDPs has already been extensively explored by such protocols as MakerDAO (now Sky) and Bitshares. In their cases, CDP functionality is available for any user who locks collateral in the protocol’s smart contracts, mints synthetic stablecoins pegged to USD, and commits to a certain level of collateralization for this newly minted stablecoin debt. The user’s CDP can be liquidated if its collateral value drops below the predefined threshold due to the volatility of collateral assets.

Enjoyoors’ Giga CDP is distinctly different from this retail-oriented approach. See how Enjoyoors compares with regular CDP-based protocols:

Criteria	Regular CDP protocols	Enjoyoors
Who opens CDP?	Users	Protocol
Who manages CDP?	Users	Protocol
Who manages synthetic debt?	Users	Protocol / DAO
Can mint multiple synthetic assets?	No	Yes
How is the peg maintained?	Arbitrage	Peg Adapters, Arbitrage
Is any insurance mechanism implied?	No	Insurance pool

In summary, the protocol manages Giga CDP of Enjoyoors instead of retail users, and the effectiveness of this management substantially elevates protocol stability. The exclusive control after the synthetic supply enables a risk management toolset that is much broader than any regular CDP protocol. We will discuss this in the protocol stability section.