Scallop is the first DeFi protocol with pensions granted by the Sui Foundation. It's the Next Generation Money Market for the Sui ecosystem. The money market is peer-to-peer and dynamic, providing high-interest lending, low-fee borrowing, AMM, and a self-management tool for your digital assets.
As a decentralized money market, Scallop allows users to borrow and lend different cryptocurrencies. When you make a supply of tokens, you'll receive the corresponding sCoin tokens from the lending pools in Scallop (i.e., sSUI for SUI supplies, sUSDC for USDC supplies, etc.).
The generation of APR after investment is twofold. First, your tokens will be swapped into the corresponding sCoin tokens. Second, your sCoin tokens will be staked into lending pools, where your APR will come out of interest paid by borrowers. These steps will be completed automatically during investment.