Hood Protocol Documentation

Hood Protocol is a permissionless lending protocol on Robinhood Chain (EVM, Chain ID 4663). Deposit any ERC20 token as collateral and borrow ETH. 70% LTV, 0% interest, open-ended loans.

How It Works

Connect Wallet

Connect any EVM wallet (MetaMask, Rabby, or any injected wallet). Hood Protocol uses the standard window.ethereum interface. Make sure you're on Robinhood Chain (ID 4663).

Input Token Contract Address

Enter the contract address of any ERC20 token on Robinhood Chain. There is no whitelist — any token with DexScreener price data and minimum $1,000 liquidity is accepted.

Approve & Deposit

Standard ERC20 flow: first approve the Hood Protocol treasury to spend your tokens, then transfer your collateral. Two wallet confirmations required.

Receive ETH

After on-chain deposit verification, ETH is sent to your wallet automatically. The full cycle completes in under two minutes.

Accepted Collateral

Hood Protocol accepts any ERC20 token on Robinhood Chain that meets these minimum requirements:

Requirement	Minimum
Pool Liquidity	$1,000 USD
Price Data	Available on DexScreener
Token Standard	ERC20

This includes:

Meme coins (dog coins, cat coins, community tokens)
Governance tokens
Utility tokens
LP tokens
Fair launch tokens
Any ERC20 token with a DexScreener price feed on Robinhood Chain

No whitelist.You input the contract address directly. If the token has sufficient liquidity and price data, it's accepted as collateral.

Borrowing

Parameters

Parameter	Value
LTV Ratio	70%
Minimum Borrow	0.001 ETH
Maximum Borrow	50 ETH per loan
Interest Rate	0% (Free)
Loan Duration	Open-ended (no deadline)
Early Repayment	Allowed, no penalty

ERC20 Flow

The borrow process uses the standard ERC20 approve + transfer pattern:

Sign a message to verify wallet ownership
Approve: Allow the treasury address to spend your tokens
Transfer: Send tokens from your wallet to the treasury
Hood Protocol verifies the deposit on-chain
ETH is sent to your wallet

// Approve treasury to spend tokens await token.approve(treasuryAddress, amount); // Transfer tokens to treasury await token.transfer(treasuryAddress, amount);

LTV Calculation

Example:You deposit tokens worth $1,000 USD. At 70% LTV, you can borrow $700 worth of ETH. If ETH = $2,500, that's 0.28 ETH.

Repayment

To get your tokens back:

Go to the "My Loans" tab in the app
Click "Repay" on your active loan
Sign the message and confirm the ETH transfer to the treasury
Your collateral tokens are returned to your wallet immediately

Since there is 0% interest, you repay exactly what you borrowed. Borrow 1 ETH → repay 1 ETH.

Default & Liquidation

Hood Protocol uses a 7-day default auto-sell mechanism:

Event	Trigger	Action
Health Warning	Collateral value falls below loan value	Loan flagged as at-risk
Default Flag	Collateral value stays below threshold	7-day countdown starts
Auto-Sell	7 days after flag, no repayment	Collateral is sold to recover the loan

You can repay at any time during the 7-day countdown to avoid liquidation and get your tokens back.

Fees

Fee Type	Amount
Interest	0%
Borrow Fee	None
Repay Fee	None
Network Gas	Standard Robinhood Chain gas fees

Chain Details

Property	Value
Chain Name	Robinhood Chain
Chain ID	4663
Native Currency	ETH
Type	EVM-compatible
Explorer	robinhoodchain.blockscout.com
Supported Wallets	MetaMask, Rabby, any EVM wallet

When connecting for the first time, Hood Protocol will prompt you to add Robinhood Chain to your wallet if it's not already configured.

Security

Signature verification: Every borrow and repay action requires a signed message from your wallet to prove ownership.
On-chain deposit verification: ETH is only sent after your token deposit is confirmed on the Robinhood Chain blockchain. Transfer logs are parsed to verify the correct amount reached the treasury.
Non-custodial design: Tokens are held in the protocol treasury and returned in full upon repayment. No rehypothecation.
Real-time pricing: DexScreener price feeds ensure accurate collateral valuation at the time of borrowing.

FAQ

What wallets are supported?

MetaMask, Rabby, and any browser wallet that injects window.ethereum. Any EVM-compatible wallet on Robinhood Chain works.

Is there a whitelist of tokens?

No. You input any contract address. If the token has a DexScreener price feed and at least $1,000 in liquidity on Robinhood Chain, it's accepted.

What happens if my token moons while it's locked?

Repay at any time and get your tokens back. There's no lock-up period and no penalty for early repayment.

Can I have multiple loans?

Yes. Each loan is per-deposit. You can have multiple active loans with different tokens as collateral.

Why 70% LTV for all tokens?

Hood Protocol uses a flat 70% LTV for simplicity. The 7-day default period provides a buffer for volatile assets — you have time to repay before auto-sell.

What's the 7-day auto-sell?

If your collateral value drops significantly below your loan value and you don't repay within 7 days, the protocol sells your collateral to recover the borrowed ETH.

Why do I need to approve before transferring?

ERC20 tokens require a two-step process: first you approve a spender (the treasury), then you (or the treasury) can transfer tokens. This is standard EVM token behavior.