Fluid Protocol

Lending Pools


Lenders can deposit either token (token0 or token1) into its associated contract for that token. In exchange, they receive an interest-bearing token, bFLUID, representing the underlying token with accrued interest. Later, they can exchange their interest-bearing token for the original token, with accrued interest, provided there is sufficient liquidity in the Borrowable contract for that token.


Borrowers can deposit LP tokens as collateral into the protocol. With this collateral, a borrower can create a loan, which requires a certain amount of the underlying tokens, provided there is sufficient liquidity in both underlying tokens to create the loan.
To enable leveraged yield farming, the Fluid Protocol uses tokens from the liquidity pool (from lenders) to add liquidity to the DEX for the token pair, adds the resulting LP tokens to the protocol for the token pair, and sends the borrower cFLUID tokens, which represent the borrower’s initial collateral and borrowed LP tokens.


Any lending pool with farms available will earn and reinvest additional rewards. Rewards are accrued to anyone who deposits or leverages their collateral (LP tokens) in the lending pool and is periodically reinvested to buy more LP tokens on their behalf.
More details will be released soon.