Glossary
Glossary of Key Terms
📘 This glossary provides definitions for key concepts and technical terms used throughout the Quantillon Protocol documentation.
ACPR (Prudential Supervision and Resolution Authority)
The French authority responsible for prudential supervision and resolution, which engages in regulatory dialogue with Quantillon.
APY (Annual Percentage Yield)
The annualized percentage return, measuring the real yield earned on an investment over one year.
aQEURO / mQEURO / bQEURO / eQEURO
Variants of QEURO vaults, each representing different collateral strategies:
aQEURO: Backed by USDC deposited on Aave.
mQEURO: Backed by MakerDAO vaults.
bQEURO: Backed by tokenized Treasury Bills (T-Bills).
eQEURO: Based on synthetic yield models.
Cantillon Effect
An economic concept describing how monetary expansion initially benefits capital allocators closest to the money source, then gradually spreads, diluting value for others. Quantillon aims to reverse this effect to benefit European savers.
CASP (Crypto-Asset Service Providers)
Entities providing crypto-asset services, as defined in the MiCA regulation.
CeDeFi (Centralized Decentralized Finance)
A hybrid approach combining centralized and decentralized systems, often integrating DeFi technology into centralized frameworks.
Chainlink
A decentralized oracle network used by Quantillon to fetch secure, tamper-proof data (e.g. EUR/USD exchange rate), crucial for maintaining QEURO’s peg and triggering liquidations.
Overcollateralization
A system where the value of pledged collateral exceeds the value of the issued loan or stablecoin. QEURO is overcollateralized by at least 101%.
Composability
The ability of DeFi protocols to integrate and interact seamlessly, enabling the creation of complex and composable financial products.
DAO (Decentralized Autonomous Organization)
An organization governed by smart contracts on a blockchain, with no centralized control. Quantillon aims for full DAO governance over time.
DeFi (Decentralized Finance)
A financial ecosystem built on blockchain technology, operating without traditional intermediaries.
Delta-Neutral Hedging
A risk-mitigation strategy aiming to make a position neutral to price changes in the underlying asset (e.g., EUR/USD exposure in Quantillon).
EUR/USD
The Euro/US Dollar currency pair. A key factor in volatility and currency risk for European users exposed to USD-based DeFi.
Forex (Foreign Exchange Market)
The global market for currency trading. Quantillon leverages its depth and liquidity.
Hedgers
Participants who provide USDC to hedge against EUR/USD volatility, in exchange for compensation via the Yield Shift mechanism.
KPI (Key Performance Indicator)
Metrics used to assess the protocol’s growth and performance. Examples: TVL, swap volume, user base.
Liquidity by Design
Quantillon's strategy of leveraging existing liquidity (USDC and Forex) instead of building new liquidity from scratch—reducing costs and slippage.
Livret A
A low-yield regulated savings product in France, often cited as an example of how European capital is passively “parked”.
MiCA (Markets in Crypto-Assets Regulation)
The EU regulation establishing a legal framework for crypto-assets and their service providers.
Recital 22
A clause in MiCA that exempts protocols which are fully decentralized and not controlled by a legal entity from some regulatory obligations.
QEURO
Quantillon’s euro-pegged stablecoin, overcollateralized and backed primarily by USDC.
$QTI Token
Quantillon’s native governance token. Used for:
Protocol governance
Reward distribution
Incentivizing participation
RWAs (Real World Assets)
Tokenized representations of real-world financial instruments (e.g., Treasury Bills), used as collateral in Quantillon vaults.
Stablecoin
A cryptocurrency pegged to a stable asset (like fiat or commodities), designed to reduce volatility.
TVL (Total Value Locked)
The total value of assets locked within the protocol. A key indicator of Quantillon’s adoption and capitalization.
USDC
A USD-pegged stablecoin used as primary collateral in the Quantillon Protocol.
Users
Participants who mint or stake QEURO to gain euro exposure and earn yield.
Vaults
Risk-segmented architecture modules where users deposit collateral across various DeFi backends (e.g., Aave, MakerDAO).
veQTI (Vote-Escrowed QTI)
A staking model where $QTI tokens are locked for a fixed time in exchange for:
Increased voting power
Long-term alignment incentives
Yield Shift
Quantillon’s unique mechanism for dynamically redistributing yield from collateral between Users and Hedgers to maintain the stablecoin’s peg.
💡 Want to dive deeper into any of these terms? Use the GitBook search or navigate through the sidebar for more detailed sections.
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