# Superseed Glossary 🌱

By [l1ghtik](https://paragraph.com/@l1ghtik) · 2024-10-05

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**1\. Superseed**

A general-purpose Ethereum Layer 2 blockchain, built on the OP Stack. It's open-source, permissionless, and fully Ethereum-equivalent, allowing developers to build using familiar tools and infrastructure.

**2\. Supercollateral**

Superseed’s governance token, acting as special collateral in the CDP protocol. Borrowers who meet a 500% collateralization ratio can take out loans without interest. Fees from the ecosystem are used to repay the loans of Supercollateral users.

**3\. SuperCDP**

A native Collateralized Debt Position (CDP) protocol, where users deposit assets (collateral) and receive loans. It’s similar to other CDP systems, but optimized within Superseed to support self-repayment.

**4\. Proof of Repayment**

A mechanism that rewards users for contributing to loan repayments. Those who pay back the most are prioritized in receiving rewards, ensuring fairness and balance in the system.

**5\. Dynamic Repayment Vault**

A vault responsible for managing the overcollateralization of loans, keeping the ecosystem stable by adjusting debt and collateral ratios as needed.

**6\. Superseed Stablecoin**

An overcollateralized stablecoin generated when borrowing against assets on the CDP platform. Collateral must always exceed 150% of the stablecoin’s value to maintain stability.

**7\. Ethereum Layer 2 (L2)**

Superseed operates as an L2 solution on Ethereum, meaning it benefits from Ethereum’s security while offering faster and cheaper transactions.

**8\. OP Stack**

A set of modular open-source software made by Optimism, that enables developers to build fast, secure, and scalable Ethereum L2s and applications.

**9\. Self-Repaying Loans**

Superseed governance token used in the CDP protocol. It allows borrowers to lock it as collateral with no interest if they maintain a collateral ratio of 500% or higher. Loan repayments are covered by fees from sources like the L2 sequencer, interest on non-supercollateral assets, Proof of Repayment, and staking bridge revenue.

**10\. On-Chain Garden**

A metaphor for the Superseed ecosystem, where various components (Supercollateral, vaults, stablecoins) work together like a self-sustaining garden. Each element supports growth and balance in the system.

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*Originally published on [l1ghtik](https://paragraph.com/@l1ghtik/superseed-glossary)*