X @Bankless

Overview - The report focuses on the International Meme Fund (IMF), a lending protocol on Base aiming to provide credit to memecoin holders [2] - The analysis suggests IMF could be a proving ground for next-generation permissionless credit engines [4] Key Features of IMF - IMF allows users to post meme assets like $MOG, $PEPE, and $IMF as collateral to borrow Sky Protocol's $USDS [2] - It is built on Morpho Labs's Multi-Market Factory, with each token in an isolated Morpho Market to prevent risk contagion [3] - Borrowing is allowed up to 50% Loan-to-Value (LTV), with liquidations occurring at 77% Liquidation Loan-to-Value (LLTV) [3] - IMF offers one-click features like Accelerate (loops collateral to 150% long at ~33% start LTV), Amplify (optimizes Uniswap v3 LP for yield), and Allocate (lets $IMF holders vote on USDS incentive distribution) [3] Industry Implications - The protocol addresses a structural gap in DeFi by providing borrowing/lending paths for memecoin holders [1][4] - By making conviction bankable collateral, IMF contributes to the maturation of the meme economy [5] - The isolated Morpho vaults and overcollateralized USDS model could potentially extend to Zora Coins, niche NFTs, and even exotic Real World Assets (RWAs) [4]