Today, most lending systems are structured to favor lenders over borrowers. Borrowers often face opaque risk parameters, liquidation cascades triggered by oracles, and dependency on third-party liquidity. Whether it’s through variable interest rates or sudden liquidations, the borrower remains structurally disadvantaged.
Cooler Loans V2 introduces a fundamental departure from this model. Backed by the Olympus treasury, Cooler V2 offers a fixed-rate, perpetual borrowing system, not to extract value from users, but to preserve and empower them. With no price oracles, no price based liquidations & a single, flexible, & easy to manage loan, it establishes a new standard for borrowing defined by transparency, predictability, and full on-chain control.
The Core Principles & How It Works
Cooler Loans V2 is governed by a simple set of principles: no liquidations, no reliance on external capital or third-party liquidity providers, and no hidden variables. It draws liquidity directly from the Olympus Treasury and operates entirely on terms defined by the system and its users.
Borrowing through Cooler Loans V2 involves depositing gOHM as collateral and receiving USDS directly from the Olympus Treasury. Loan interest is fixed at 0.5% annually and flows back into the treasury, reinforcing the very system that enables the lending facility itself.
Perpetual Freedom
Cooler Loans V2 are perpetual, with no expirations or rollovers. The only way a loan can default is if accrued interest surpasses the threshold set by governance. If this occurs, the gOHM collateral is burned and the position is closed. The users threshold and date it will be met, is displayed on the users dashboard. Full transparency & trackability. At no point is collateral subject to liquidation due to price volatility.
Ultimate Flexibility
Cooler Loans V2 was built for flexibility. Users can add or remove gOHM collateral as needed, borrow additional USDS within their allowable loan-to-value threshold, repay partially or fully at any time, and dynamically manage their interest accrual to prevent default.
Unified and Perpetual Position Management
Cooler V2 consolidates borrowing into a single dynamic position, which users can manage continuously without the need for creating or closing loans. Repayments, whether partial or full, are accepted at any time. Payments are first applied to accrued interest; any remaining amount reduces principal. When principal is repaid, a proportional amount of collateral becomes withdrawable.
Users can adjust collateral and debt freely without needing to close their position. There are no rollover mechanics, and no dependency on market price feeds. The system is fully governed by transparent, rule-based mechanisms built into the protocol.
Multi-Wallet Delegation and Treasury Use Cases
Cooler Loans V2 supports multi-wallet delegation, enabling up to 10 wallets to share access to a single loan position. This makes it ideal for DAO treasuries, multi-sig teams, or delegated governance structures. Each of these entities can interact with the loan collaboratively and securely.
No custom tooling or external infrastructure is needed for this shared access. It is natively supported within Cooler Loans V2, ensuring secure, distributed control over borrowing positions.
Treasury-Backed Stability
Fully sustained by the Olympus Treasury, Cooler Loans V2 does not rely on external liquidity providers, mercenary capital, or yield farming incentives. Because of this structure, borrowing capacity increases as backing grows. All interest payments return to the treasury, enhancing its reserves and supporting system sustainability.
This design ensures that borrowing activity reinforces the protocol, rather than dilute it. Capital inflows and outflows remain structurally aligned with Olympus’ long-term systemic health and solvency.
Governance-Aligned Risk and Loan Parameters
The loan-to-value ratio in Cooler V2 increases gradually through a governance-controlled drip model. This allows users to borrow more over time as their gOHM becomes backed by more reserves. Because borrowing is always tied to actual treasury assets, the system avoids overextension and ensures credit capacity scales safely with protocol strength. Having the drip rate controlled by governance eliminates oracle risk. This contributes to long-term solvency across market cycles.
Why It Matters
Cooler Loans V2 redefines the next era of protocol-native borrowing. It moves beyond legacy constraints, replacing them with clear, predictable rules, shaped by the protocol and its participants. More than a standalone system, it is part of a larger vision. Olympus is not assembling disconnected tools. It is building a unified, self-directed financial system with its own foundation for capital, credit, and coordination. Cooler Loans V2 is a step toward that system: transparent, resilient, and built to last.
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