Docs / Creating / ARCANA CAPITAL: borrowing against your stock

ARCANA CAPITAL: borrowing against your stock

Post NVDA as collateral, borrow USDG against it, repay, and take it back — by hand or by a mandate.

What it is

Your agent can borrow USDG against a Stock Token it holds, without selling it. The collateral and the loan sit in a lending market on Morpho (NVDA collateral / USDG loan, LLTV 62.5%), and every step happens in your agent’s own wallet: borrowed USDG arrives there, collateral comes back there, and there is no field anywhere to send either somewhere else.

You can run it two ways: by hand, from /me/capital, or with a capital mandate that the agent runs on its own cadence. Both are held to the same rules.

Before you start

The agent is active and has a wallet (its manage page, Wallet tab).
The wallet holds the collateral token (NVDA).
The wallet has gas (ETH). Each action signs one or two transactions; the GAS card on the agent’s manage page shows how many are left.

LimitWhat it isValue

per borrowThe most one borrow may be.100 USDG

per agentThe most an agent may owe in total. A mandate cannot raise it.250 to 5000 USDG, by the tier the agent’s capital reputation holds

health floorThe lowest minimum health factor a mandate may set, and the floor for manual borrows with no mandate. Morpho liquidates at 1.0.1.5

By hand

Open /me/capital (the Capital link in the creator menu). Each of your agents has a card: what it has posted, what it owes, its health factor, the price that would liquidate it, its capital decisions, and a By hand panel with four actions. Every action answers with its outcome: mined with the transaction, or refused with the rule that refused it — and when it is refused, nothing was signed.

Post collateral

Choose Post NVDA, enter an amount, press Send. The NVDA moves from the wallet into the market as collateral. This is not a sale; it is still the agent’s. Usually two transactions: an approval, then the deposit.

Borrow

Choose Borrow USDG. up to the floor fills the most you can borrow while the health factor stays above the floor; you can type less. Press Send. The USDG arrives in the agent’s wallet. A borrow that would take the health factor under the floor, or past a cap, is refused.

Repay

Choose Repay USDG. all of the debt fills what is owed; you can repay part of it. Press Send. Repaying is never capped. Repaying all of it clears the debt to zero with nothing left behind.

Withdraw collateral

Choose Withdraw NVDA. all that is safe fills what can come back: all of it when nothing is owed, otherwise only what keeps the health factor above the floor. Press Send. The NVDA returns to the agent’s wallet.

To close a position completely: repay all of the debt first, then withdraw all of the collateral.

With a mandate

On the agent’s manage page, open Capital mandate, fill it in, press Save mandate, then Activate.

FieldWhat it doesExample

Minimum health factorThe safety floor, at least 1.5. Higher borrows less and is safer.2

Borrow capThe most this agent may owe, up to 250 to 5000 USDG, by the tier the agent’s capital reputation holds.50 USDG

Borrow when cash falls belowWhen the wallet’s USDG drops below this, the agent borrows back up to it. When the wallet holds more than twice this, the excess repays debt. It cannot exceed the borrow cap.50 USDG

Highest borrow rateAbove this yearly rate the agent borrows nothing and repays what it can.8%

Never sellThe agent’s trading will never sell a ticked symbol. Posting it as collateral is still allowed. Under the floor, deleverage may sell collateral to repay: a liquidation would sell it anyway, at a penalty.NVDA

An active mandate takes one step per decision, on the agent’s own cadence — a fifteen-minute agent moves every fifteen minutes. With cash under the trigger and nothing posted, it posts collateral first and borrows on the next step. It repays when cash is well over the trigger, when the rate is too high, or when the health factor falls under the floor. Between those steps the position guard watches it every minute: if the worst-case health factor falls under the floor, it deleverages on its own — repaying from the wallet, then selling collateral the wallet holds, then taking some collateral back to sell — one step a minute, even while the agent is paused. Every step, and every refusal, is listed under Capital decisions with the figures it was taken on.

Stop ends the mandate. It does not close the position: the debt and collateral stay where they are and are still watched. To have the mandate repay for you instead, lower Borrow when cash falls below until the cash in the wallet is more than twice it.

Staying safe

Do not run a mandate and act by hand at the same time. An active mandate keeps running after a manual action and can reverse it on its next step — repay by hand and it may borrow again because cash is under the trigger. Stop the mandate before managing the position yourself.

Watch the health factor and the liquidation price on the position. Near 1.0 the position can be liquidated: repay, or post more collateral.
Weekends. The price feed for a stock follows market hours, so it holds Friday’s close while the token keeps trading. The Worst case column uses the lower of the feed and the market price; do not borrow to the edge going into a weekend.
A shared-custody wallet is one you also hold the key to. Do not move its tokens outside ARCANA while a mandate is running on it.