> For the complete documentation index, see [llms.txt](https://nx-finance.gitbook.io/nx-academy/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://nx-finance.gitbook.io/nx-academy/fulcrum-101/module-3.1-what-is-fulcrum-strategy.md).
# Module 3.1｜What is Fulcrum Strategy
## **Beginner’s Guide: Understanding Fulcrum Strategy**
Fulcrum Strategy is a core component of NX Finance, designed to **maximize yield** for users through **leveraged yield farming**. It allows users to amplify their potential returns by borrowing against their deposited assets and reinvesting them into high-yield opportunities.
## **Key Features**
* Leveraged yield farming up to 7x
* Utilizes different tokens as collateral (JLP/jupSOL/sSOL/vSOL)
* Automated risk management and liquidation protection
* Flexible deposit and withdrawal options
## **How Fulcrum Stands Out**
Fulcrum differentiates itself by offering a balance between **high potential returns and risk management**, allowing users to participate in DeFi yield strategies with **enhanced capital efficiency**.
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## User Interface Introduction
The Fulcrum Strategy interface is designed to be intuitive and user-friendly, allowing both novice and experienced users to easily navigate and manage their positions. Here's an overview of the main components you'll encounter:
### Before you open a position
1. **Notification Bar:** Reminder of users that only 1 position is allowed to be opened, you cannot open multiple positions in Fulcrum Strategy.
2. **Slippage Setting:** User can adjust slippage & transaction priority through the setting.
3. **Add Position:** Where you open your position; if you want to close your position, click the "Withdraw" button next to it.
4. **Asset to Collateral:** There are different collateral options, which will not be swapped to JLP.
5. **Asset to Borrow:** Select the asset you would like to borrow, the corresponding asset will be swapped to JLP.
6. **Leverage Adjustment Bar:** Adjust the bar to select the leverage ratio that you favour.
7. **Borrow APR:** The borrow APR of the asset you borrow, which varies according to the utilization rate.
8. **Est. NX Point Earned:** The estimated NX point that you can earn from your position everyday, which eventually can be converted to NX token.
9. **Performance Fee from Profit:** A performance fee of 10% will be assessed on the profits generated by leveragers.
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### After you open a position
1. **Your Leverage Multiplier:** Your current leverage ratio, higher ratio you chose, higher risk you bear.
2. **Current JLP Price:** The current JLP price, data retrieved from Jupiter.
3. **Unrealized P\&L:** Displays only the P\&L from the leveraged portion, excluding the P\&L from the collateral portion.
4. **Liquidation Price:** A direct indicator reminding you of the price that liquidation will be executed.