Goal
Scale lending safely while keeping downside protection intact.Why leverage fits Aion-Fi
Here’s the thing: under the PSP model, advances are self-liquidating at T+2 from receivables we already control. That short duration plus direct collateral control means lower loss severity—which makes a modest leverage ratio actually work.What determines the leverage ratio
We adjust leverage based on the strength and predictability of each cohort:- Liquidity reserve: A fixed buffer that absorbs daily swings in volume.
- Cohort eligibility: Only merchants with stable sales patterns and low dispute rates qualify.
- Performance gates: Chargeback variance, repayment consistency, and acquirer-settlement timing dictate how far a cohort can scale.
- Track record: Cohorts with more observed cycles can move toward higher multiples; newer or volatile cohorts remain at conservative levels.
Operator discipline
We enforce strict constraints to prevent concentration and keep leverage aligned with real cash flow:- Per-merchant exposure capped at ≤5% of the pool.
- Scale leverage only as realized data validates the cohort.
Why this matters
Short duration, receivable-backed repayment, and tight exposure controls work together. This lets Aion-Fi grow lending without drifting into high-risk territory. It’s disciplined scaling, not reckless growth.A full leverage dashboard—showing cohort multipliers, reserves, and performance metrics—will be available in a future release.