🔥Horizon Overview
Introduction
Horizon unifies earning, borrowing, leverage, and liquidity into a single integrated financial primitive.
Token supply is fixed at genesis and released on a transparent schedule with annual halvings.
Distribution follows a share-based participation model in which time and usage determine allocation. Participation affects distribution, not total supply.
Protocol revenue is directed to token buybacks and permanent supply reduction.
Horizon operates alongside existing money markets as a parallel financial system with its own monetary framework.
System Overview
Horizon is composed of modular components. Each module performs a defined function in translating capital, time, and usage into allocation and rewards.
Earn
Earn enables users to deposit assets and earn interest from borrowing demand.
Deposited assets are allocated across isolated Morpho lending markets. Each market maintains separate accounting (independent tracking of balances, positions, interest, and liquidations), ensuring true isolation, no cross-market impact from bad debt, failures, or adverse events.
What Earn provides
Yield from borrowing interest
Participation-based incentives
Compartmentalized credit exposure
Alignment with Horizon’s buyback via revenue routing
How it works
Deposit supported assets into a vault
Capital allocates across isolated markets
Borrowers pay interest
Depositors earn yield and protocol incentives
Key properties
Market-level risk isolation
Contributions to protocol revenue and supply reduction
Borrow
Borrow allows users to take a loan by using their assets as collateral.
Collateral is supplied into isolated markets with predefined risk parameters. Each market maintains independent accounting and liquidation thresholds, preventing risk transmission across markets.
Borrowing activity generates interest, forming a core source of protocol revenue.
What Borrow provides
Access to liquidity without exiting long-term positions
Defined risk parameters per market
Overcollateralised borrowing with transparent thresholds
Alignment with Horizon’s revenue and incentive mechanisms
How it works
Users deposit supported collateral into an isolated market
Assets may be borrowed up to the market’s maximum loan-to-value ratio (LLTV)
Interest accrues on borrowed balances
Positions may be repaid at any time to unlock collateral (subject to liquidity availability)
If collateral value falls below required thresholds, the position becomes eligible for liquidation
Key properties
isolated markets
Overcollateralised credit design
Revenue derived from borrowing demand
Incentives distributed based on participation
Multiply
Multiply allows users to increase exposure to an asset through automated leverage.
It operates within isolated lending markets governed by predefined risk parameters. Borrowed assets are programmatically redeposited to expand position size without manual execution.
What Multiply provides
Automated position scaling
User-defined leverage within predefined limits
Exposure within isolated market boundaries
Incentive accrual across the full position size
How it works
A user supplies collateral into a supported lending market
A target leverage level is selected
The protocol borrows against the position
Borrowed assets are re-supplied
The borrow and resupply cycle repeats within loan-to-value constraints until the selected leverage is reached
Interest accrues on the borrowed balance throughout the position lifecycle. NOVA incentives accrue based on total supplied and borrowed exposure within the position.
Key properties
Isolated market risk boundaries
Predefined loan-to-value constraints
Automated borrowing and redepositing
Incentives accrue on total supplied and borrowed exposure
Universal Buy & Burn
The Universal Buy & Burn converts protocol revenue into programmed token acquisition and supply reduction.
All revenue generated by lending, borrowing, liquidity provision, and related protocol activity is routed into decentralized, user-incentivized on-chain buybacks via optimized swap paths designed to minimize slippage and market impact.
Acquired tokens are allocated according to fixed protocol parameters. A defined portion is permanently removed from circulation. The remainder is used for structured redistribution under the protocol’s incentive framework.
Buyback volume increases as a function of protocol revenue. Increased activity results in greater token acquisition and a reduction in circulating supply, concentrating ownership across the remaining supply base.
Two Token Architecture
Horizon uses two tokens with distinct economic functions. HORIZON serves as the protocol’s value accrual asset, and NOVA serves as the incentive asset. Supply rules are predefined, value routing is enforced at the smart contract level, and supply metrics are publicly observable.
HORIZON
HORIZON captures protocol revenue through buybacks and permanent burns. Revenue generated from lending, borrowing and liquidity is routed into market purchases of HORIZON. Purchased tokens are divided equally between permanent burns and future incentive distribution.
HORIZON supply is fixed at genesis, minting is permanently disabled, and circulating supply adjusts through buyback execution.
Holding or deploying HORIZON within the platform unlocks preferential rates and reduced fees across core features. Utility is integrated directly into lending, borrowing, liquidity, and mining activity.
NOVA
NOVA distributes incentives across Earn, Borrow, and Liquidity markets. It emits at a fixed daily rate and is allocated according to adjustable weight parameters. Reward share is determined by position size and effective share weight. Protocol-defined flows purchase NOVA using trading fees and miner revenue. The protocol publishes daily emissions, daily burns, and net supply change.
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