🫳Lending Vault
Before the assets of liquidity providers face any downside risk, everyone has the ability to liquidate the positions taken by Leveragers. This ensures that the protocol can restore liquidity providers
Overview
The Lending Vault in NX Finance allows lenders to deposit asset like USDC/USDT to earn a secured yield, profiting from the earnings generated by its leverage strategy while providing borrowers the opportunity to significantly boost their returns.
This model simplifies asset the process of lending, akin to platforms like Compound and Aave, by offering single-asset contributions with enhanced yield prospects.
Earning Calculation
The cap on the APR that lenders can receive is pegged to the utilizatioin rate of the lending pool and borrow APR.
The methodology for calculating yields is outlined on the Strategy 2 Reward Calculation page.
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