Searching for Alpha: Surge

Over-collateralized lending is one of the largest sectors in DeFi by value locked and volume. The most common approach of DeFi lending involves pooling all borrowable assets into a cross-margin pool. Liquidation is critical to protect pool solvency, and it involves assessing collateral value and requires reliable price feeds. Therefore, such a model can only support highly liquid tokens, as illiquid tokens often lack reliable and manipulation-resistant oracles.

Surge aims to provide a framework for the permissionless creation of isolated lending pools that can support the lending and borrowing of exotic assets regardless of their liquidity.