Composing DEX & Lending for Higher Capital Efficiency
Lending Pools are an innovative tool made in collaboration with Tinyman and Pact.fi. Lending pools allow liquidity providers to accrue yield from Folks Finance's lending pools and liquidity pools on a DEX at the same time by increasing the efficiency of deposited assets.
Lending Pools are DEX pools comprised of interest-bearing assets.
If you use Lending Pools for ALGO-USDC, you will receive:
The interest from the ALGO deposit on Folks Finance.
The interest from the USDC deposit on Folks Finance.
The swap fees from the DEX pool.
This innovation will grant deeper liquidity, greater TVL and higher yield.