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Angle Labs

A capital-efficient, decentralized, over-collateralized stablecoin protocol

Core Concept of Angle

Angle is a decentralized, capital efficient and over-collateralized stablecoin protocol composed of smart contracts running on open blockchains. It was launched in November 2021.

It can be used to issue stablecoins, called agTokens, designed to mirror the value of an asset they are pegged to. On top of its stablecoin products, Angle Protocol also offers ways to:

  • Trade perpetual futures
  • Earn yield from strategies
  • Get leverage on a wide range of assets

The protocol consists of several different modules, or sets of smart contracts, from which stablecoins can be issued or minted. While Angle launched its first stablecoin agEUR with a single minting module (the Core module), a Borrowing module allowing to borrow Angle stablecoins against deposited collateral has been introduced.

The protocol is also engaged into Direct Deposit Modules, also called Algorithmic Market Operations (AMOs), allowing it to boostrap liquidity for agTokens in other protocols.

Core module and Borrowing module

Angle Core module is deployed on Ethereum mainnet and is used for agEUR only. It relies on three types of agents that form a balanced ecosystem maintaining agEUR's peg (or stability). These agents are users minting and burning the stablecoins, Hedging Agents covering the protocol collateral from price changes, and Standard Liquidity Providers helping to over-collateralize the protocol in exchange for yield.

Angle Borrowing module is used for all Angle stablecoins, and it is for some of them deployed on multiple EVM compatible networks beyond Ethereum (like Polygon or Optimism). It allows users to deposit collateral and borrow agTokens (debt) against this collateral. It is designed to enable getting leverage on almost any asset through an agToken loan, or to simply let people get access to stablecoins while keeping their exposure to a volatile asset or to a yield-bearing token.

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