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description: Empowering the decentralized borrowing protocol for a self-sovereign future.
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# FLD Tokenomics

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Read the [FLD Tokenomics introduction](https://medium.com/@ForlendFinance/introducing-fld-token-ddf8640292fe) on Medium.&#x20;
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## Forlend Economic Model

Forlend is the first private, decentralized lending and borrowing protocol, and is built to prepare DeFi lending for mass (institutional) adoption. How? By giving all users sovereignty over their transaction data and on-chain privacy — all while making it possible to be KYC-compliant.

Forlend lets users stake assets to earn interest or deposit assets as collateral to take out loans in a permissionless and frictionless manner using an over-collateralization model.

Launched on Findora’s privacy-preserving blockchain, Forlend enables provides transactional privacy, creating a fairer market that empowers all traders, from small-time retail users to small-to-medium trading companies, all the way up to major institutions.

Its multichain architecture allows large amounts to be transferred confidentially, a feature that can open DeFi to institutional investors, thus deepening liquidity pools and maturing the space.

### What is FLD&#x20;

FLD is the governance token of Folend Finance protocol. 10 million FLD tokens are minted at its genesis and released over a 2-year schedule (token supply and issuance can be updated through future Forlend Improvement Proposals from the community.)

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#### FLD token address:  [0x020cF6c12B08AcbE78544C4F3319A749b0601780](https://evm.findorascan.io/token/0x020cF6c12B08AcbE78544C4F3319A749b0601780/token-transfers)
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### Token utility&#x20;

* Liquidity mining: liquidity providers can deposit their assets into Forlend’s liquidity pools to mint fTokens, such as fUSDT, and use fTokens as collateral to borrow other assets. Both lenders (who supply assets) and borrowers are free to earn a certain number of FLD tokens via liquidity mining.
* Staking incentives: The [FLD-FRA LP](https://fairyswap.finance/liquidity) token staking pool will be launched a week after Forlend’s genesis mining starts. Users can earn extra yield by staking their FLD-FRA LP tokens in the staking pool.
* Governance: FLD holders receive governance rights, and the ability to vote on Forlend Improvement Proposals. They will collectively decide the future of Forlend protocol, making decisions on things like product features and key parameters.
* Profit sharing: a portion of the interest paid by borrowers is set aside as reserves, which are collectively controlled by FLD token-holders. Part of the reserve will be used to buy back FLD tokens.
