Supplying / Depositing Assets
Last updated
Last updated
To borrow on Forlend, you’ll need to put up supported assets as collateral.
Supply the desired amount of assets to Forlend by clicking on "SUPPLY". Keep in mind that all DeFi loans, including those on Forlend, are over-collateralized. The more you put up, the higher your borrowing limit, but what you put up can be seized if you get liquidated.
Depositors/borrowers will receive interest on their deposited assets that are algorithmically adjusted based on market conditions. Each supported asset has its own interest rate market with a different interest rate (floating rate, adjusted for each block based on supply/demand). When users (or applications) supply an asset, they begin earning a variable interest rate instantly. Interest accrues every block, and users can withdraw their principal plus interest anytime.
More details on the interest rate mechanism: