XOXNO
  • 🔥Zero to DeFi
    • Introduction
    • DeFi Initiation
  • Smart Explorer
  • E-Mode Master
  • Pro Strategist
  • XOXNO Ecosystem
    • 📖Introduction
    • 🔁NFT Marketplace
    • 🚀NFT Launchpad
    • 🎯XOXNO Liquid Staking
    • 💱eGLD Liquid Staking
      • Protocol Overview
      • Advantages
      • User Actions
    • 🦫Borrow and Lending Protocol
      • Borrow
      • Supply
      • Repay
      • Withdraw
      • Liquidation
      • Flash Loans
      • E-Mode
      • Vault
      • Isolated Pools
      • Several positions for different markets
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  1. XOXNO Ecosystem
  2. Borrow and Lending Protocol

Supply

PreviousBorrowNextRepay

Last updated 3 months ago

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Supplying tokens to the XOXNO Protocol allows users to earn interest on their digital assets while also using these tokens as collateral for borrowing.


How It Works

  • Liquidity Pools:

    • Supplied tokens are added to the XOXNO liquidity pool, a smart contract system that facilitates overcollateralized borrowing.

    • Interest is earned automatically, with the balance growing over time based on the current market supply rate.

  • Dynamic Interest Rates:

    • Interest rates for suppliers are determined by the borrow utilisation rate, which measures the percentage of total pool assets currently borrowed.

    • As more assets are borrowed:

      • Utilisation rate increases.

      • Interest rates for suppliers rise, incentivizing more token supply.


Key Features

  • Real-Time Adjustments:

    • Interest rates and utilisation rates adjust dynamically as users supply, borrow, repay, or withdraw tokens.

    • This ensures the system remains responsive to market activity.

  • Passive Income:

    • By supplying tokens, users can passively grow their balance without needing active management.

    • The system operates in a flexible and dynamic liquidity ecosystem.


Benefits for Users

  • Earn Competitive Yields: Suppliers receive interest based on real-time market conditions.

  • Flexible Collateral Use: Supplied tokens can double as collateral for borrowing within the protocol.

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