Lorica Protocol

Lorica Protocol

Yield-funded protection against a USDC depeg — on Base.

Deposit USDC, keep earning Aave yield on it, and let that yield quietly build a protection reserve. If USDC loses its peg and falls below $0.95, eligible members can claim a payout. A small, vetted group self-insuring together — no premiums out of pocket, the yield does the work.

Founders Ring · invite-only · up to 10 members · Base mainnet
How it works
1
Deposit USDC

Members deposit USDC (up to $15,000 each). Your principal always stays yours.

2
It earns on Aave

Deposits are supplied to Aave V3 and accrue yield automatically.

3
Yield builds protection

Each checkpoint splits your yield 40 / 40 / 20: 40% to your own protection reserve, 40% to the shared ring backstop, 20% to the protocol.

4
Claim on a depeg

If USDC falls below $0.95 (per Chainlink) and the event is confirmed, eligible members claim a payout from the protection reserves.

What's protected — and what isn't
✓ Protected
  • A USDC depeg on Base where the Chainlink USDC/USD price falls below $0.95.
  • Payouts funded by the protection reserves your yield has built, plus the shared ring backstop.
  • Only for active members who have held a position past the eligibility waiting period.
✗ NOT protected
  • Smart-contract bugs or exploits — in Lorica, Aave, or USDC itself.
  • A dip that doesn't cross $0.95, or one the oracle doesn't report.
  • Other stablecoins, other chains, or non-USDC assets.
  • Aave insolvency, oracle failure, or loss of your own wallet keys.
  • Your actual dollar loss — payouts are parametric (a fixed formula on the trigger), not a reimbursement of what you personally lost.
Rings, limits & timing
Ring tiersRing 1: up to $1,000 · Ring 2: up to $5,000 · Ring 3: up to $15,000
Per-member cap$15,000
Total pool cap$50,000 across the Founders Ring
MembersUp to 10, invite-only
Withdrawal lock30 days after depositing
Claim eligibilityMust have held a position for 90 days
Key parameters
Deposit assetUSDC (Circle) on Base
Yield sourceAave V3
Yield split40% your reserve / 40% ring backstop / 20% protocol
Depeg triggerChainlink USDC/USD below $0.95
Admin2-of-3 Gnosis Safe multisig (no single-party control)
Risks — please read before depositing
  • Experimental software. Lorica has had a thorough internal review but no independent professional audit yet.
  • Smart-contract risk. Bugs could cause loss of funds despite best efforts.
  • Dependency risk. Lorica relies on Aave, USDC, and Chainlink — a failure in any of those can affect it.
  • Parametric payout. A claim pays on the defined trigger and formula, which may be more or less than your real loss.
  • Regulatory uncertainty. This is not licensed insurance and the legal treatment of such tools is still evolving.
Only deposit what you can afford to lose.
Verify everything

Every contract is deployed, source-verified, and readable on Basescan. The protocol is controlled by a 2-of-3 multisig — no single person can move funds or change the rules alone. Always confirm addresses before signing.

Important: Lorica Protocol is not insurance in any regulated sense, is not a bank or a licensed financial product, and nothing here is investment, legal, or tax advice. Participation is limited to vetted Founders Ring members who understand and accept the risks. Full terms and risk disclosures are provided separately.

Lorica Protocol

Founders Ring Interface

Connect your wallet to view your position, deposit USDC, manage yield, and interact with the coverage protocol.

You'll need USDC on Base plus a little ETH for gas. Deposits are limited to vetted Founders Ring members.