Flash Loans
Last updated
Last updated
Flash loans enable users to borrow assets and return them before the blockchain finalizes its current block, hence the term one-block borrowing. In MORE, these loans can be taken without collateral. Instead, borrowers must repay the borrowed amount plus a small fee, or open a corresponding borrow position, all within the same transaction. If the loan isn’t closed out in that short window, the entire operation reverts.
In a typical scenario, the fee sits in a low percentage range (0.05%–0.07%), reflecting the short timeframe and minimal liquidation risk for the protocol. Although these fees may fluctuate based on the market’s configuration, the principle remains the same: pay back the original principal plus the protocol’s fee before the transaction completes.
Flash loans demand specific technical skills such as understanding event sequences, transaction atomicity, and how on-chain operations revert if they fail. Those building dApps around MORE’s flash loan feature will find it especially valuable for complex rebalancing, automated debt closure, or other advanced financial maneuvers.
MORE Vaults users, however, can use flash loans in the transaction builder so long as an operation to repay the loan is included in the same batch, in an acceptable order.