Background:

DeFi protocols like Compound don’t lend USD directly, as they can only lend assets available on the Ethereum network. This means if you converted your loan into USD (or another currency), you’ll need to convert it back to USDC in order to repay your loan.

Follow the steps below to convert USD or another fiat currency into USDC using an exchange.

How to Get USDC Using a Centralized Exchange

If you already have USDC, skip to the section "How to Repay Your Loan" below. Otherwise, follow the steps below.

1. Create an Exchange Account: You can purchase USDC through a centralized exchange like Coinbase or Gemini. If you don’t have an exchange account, setting one up is quick and easy on platforms like Coinbase or Gemini.

2. Deposit Funds: Next, transfer the funds you'll use to repay your loan into your exchange account. Simply log in, link your bank account or payment method, and deposit the funds. Coinbase allows you to deposit the funds as USDC, meaning they automatically handle the conversion from USD to USDC as shown in the screenshot below.

3. Buy USDC: For other exchanges, you can purchase USDC once your funds are deposited, as shown in the Gemini screenshot below. Make sure to buy an amount that covers your outstanding balance, plus a small buffer (2 USDC is usually sufficient) to account for any interest that may accrue while transferring funds to your Rocko smart wallet. Any excess USDC after repaying your loan will be returned to your account or wallet, and you can convert it back to USD.

How To Repay Your Loan

Now that you have USDC, follow these steps to initiate your loan repayment in your Rocko loan dashboard and transfer the funds.

4. Initiate Loan Repayment: Log in to your Rocko account and go to your loan dashboard. Click on the “Make a Payment” button and select the option to repay your loan in full as shown in the screenshot below. On the next page, you’ll see the total amount to be repaid, which includes an Interest Buffer. This buffer accounts for any interest that may accrue between the time you initiate the repayment and the time the funds are transferred into the DeFi lending protocol. Please note, this is an estimate, and any excess USDC after repayment will be returned to your Rocko wallet. Rocko does not receive any portion of this buffer.

5. Choose the Account/Wallet Type: Under the section titled “Where do you want to receive your collateral?”, select “Other Exchange or Wallet Address” if you're transferring USDC from a centralized exchange or a non-connected wallet. Enter the wallet address where you want your collateral returned after the loan is repaid. Coinbase users can also choose to sign in with their Coinbase account to streamline the process, but this is optional.

6. Transfer the USDC Payment: Once you click “Confirm”, you’ll be taken to the next page where your Rocko smart wallet address will be displayed. Transfer the required USDC (labeled as “Amount Required”) to your Rocko smart wallet address. If you're transferring the USDC from a centralized exchange look for the "Send" or "Transfer" button and select USDC as the asset.After the transfer is complete, your smart wallet will automatically repay your loan, withdraw your collateral, and collect any earned rewards. Any excess USDC from the transaction will be available in your Rocko smart wallet.

Other Options

If you prefer not to use a centralized exchange, you can also purchase USDC via decentralized exchanges such as Unsiwap. Another option is financial services apps like MoonPay.

Questions?

If you have questions on any part of the process, we're here to help. Please reach out at support@rocko.co and we'll be happy to address your questions over email or set up a call. Thanks!