Who This Is For

There is no single Spout user. The product fits at least five distinct situations, and most of our users sit in more than one of them.

• The Long-Term Bull Who Wants Real Leverage:
  You have a high-conviction position in something like NVDA, GOOG, or AAPL, held for years. You believe in it on a multi-year horizon. You would happily add more, but adding more at a retail broker means either tying up additional capital or paying margin interest in the high single digits to low teens. Both cap how much leverage actually pays.
  
  On Spout, you post your existing shares as collateral, borrow stablecoins at zero interest, swap into more of the underlying via the app, and you have effective leverage with no funding cost dragging on your return. Every dollar of return on the additional shares flows back to you. There is no carry to outrun. If your thesis plays out over two or three years, the no-interest borrow compounds into a meaningfully better outcome than any traditional margin product can offer.
  
  This is the kind of compounding leverage that, until now, was hard to access without an eight-figure portfolio and a private banker on speed dial.
• The Holder Who Needs Cash But Believes in the Asset:
  You hold AAPL. You bought it years ago and the position has compounded. You need cash now, for any of the normal reasons a person needs cash: rent, a down payment, a medical bill, tuition, starting a business, weathering a slow stretch of self-employment. You are not bearish on AAPL. You do not want to sell.
  
  Selling means realizing capital gains and writing the IRS a check on top of everything else. It also means giving up the future compounding you originally bought the stock for. Once you sell, you are out of the position; getting back in later means timing a market you did not want to time in the first place.
  
  A Spout loan against that AAPL gives you the cash without any of that. The shares stay in your name, with their cost basis untouched. The dividends still flow to you. The future upside is still yours. You repay the loan whenever you want, in any size, and the collateral comes back unencumbered. The only cost is the one-time origination fee on the borrow.
  
  Before Spout, doing this at all (without selling and without taking out a high-interest loan from somewhere else) effectively required a private bank line you could not get without a major portfolio.
• The Onchain Native Who Wants Real Equity Exposure:
  You already live in your wallet. Your assets, your stablecoins, and your daily flow are all onchain. You would like exposure to the parts of the public market that actually matter (AAPL, NVDA, GOOG, GS, GLD) without opening a US brokerage account, without dealing with paper statements, and without juggling a second financial life that does not connect to the rest of yours.
  
  Spout gives you that. spAssets are 1:1 tokenized against real shares held at a regulated US broker, with onchain proof of reserves. They sit in your wallet next to everything else you hold. They carry the legal and economic substance of real equity ownership: real dividends, real corporate actions, real custody.
  
  And because the same wallet holds them, the same wallet can borrow against them. No bridging, no offramping, no calling a broker to wire margin. You post collateral, borrow stablecoins at zero percent, and operate inside the same flow you already use.
• The Yield-Seeker Who Wants Real Backing:
  You have stablecoins. They are earning four to five percent at a major exchange, maybe a touch more at a DeFi money market, and the yield is some opaque mix of T-bills and lending spread. The yield is fine. The backing is fine. But there is no narrative for why it should ever go meaningfully higher than the risk-free rate.
  
  Spout's lending pool has a different shape. Your deposit earns a base yield while idle (a vetted onchain money market underneath, similar to where your stablecoins would have been anyway), and then on top of that, you earn a share of the options premium income generated by every active borrower position in the protocol. The blended target is above 10% APY, and it has three properties that matter:
  
  a. It is largely delta-neutral: You are holding stablecoins, not equities. The premium you earn comes from a covered-call program that runs against the borrower's collateral. You do not eat the equity downside when the market falls; the borrower does (which is what they signed up for when they posted shares as collateral). You earn the yield either way.
  
  b. It is relatively market-agnostic and stable: The volatility risk premium that drives this yield exists in up markets, in flat markets, and in mildly down markets. The strategy harvests it cycle by cycle. There is no directional bet to win. There is only the steady mechanical process of selling expensive options and pocketing the difference between what they cost and what they actually pay out.
  
  c. It is high Sharpe: Income comes in regularly. Principal sits behind a multi-layer waterfall (insurance fund, then treasury, then pool socialization only as a last resort). The combination of consistent premium income and a deep first-loss buffer produces a return profile with much less volatility per unit of yield than holding the underlying equities directly, and far less than chasing the same yield through speculative DeFi.
  
  
  So why isn't this already arbitraged away by hedge funds?
  Because for a hedge fund running covered calls naked, the trade is what people in the industry call picking up pennies in front of a steamroller. You collect a small premium up front, you cap your upside, and you eat the full downside of the underlying. At scale, the math does not justify the risk; the same fund can deploy the capital into trades with a better risk-adjusted return. As a result, the volatility risk premium sits there, persistent and uncaptured, on stocks and ETFs that retail and institutional buyers of options keep paying too much for.
  
  Spout's design fixes the asymmetry. The borrower posts the share, takes the equity exposure, and gets a 0% loan in exchange. The lender deposits stablecoins, collects the premium, and never touches the underlying. Smart contracts handle the matching, the netting, and the settlement, allocating each side of the trade to the participant who actually wants it. The result is a yield that has always existed in the market but has never been delivered to the people who hold the stablecoins, because the legacy financial system had no efficient way to separate the equity risk from the premium income at retail scale. We do.
• The Diversifier:
  You want some of all of the above. Borrow a little to free up some cash. Lend some to earn the blended yield. Trade in and out of supported equities and ETFs through the app. Spout was built for this kind of user too. The product works as a single open position or as the financial layer for an entire portfolio, depending on how much you want to put into it.