Supply/Lend

Supply/Lend tokens to Purrlend to earn yield when other users borrow those assets, and optionally use your deposited tokens as collateral to borrow additional assets. Once deposited, tokens are transferred into Purrlend’s liquidity pool contracts, where they become part of the protocol’s lending liquidity.

In Purrlend, supplied assets continuously accumulate variable interest determined by real-time market conditions. The interest rate model is driven by borrow utilization—the ratio of outstanding borrows relative to total supplied liquidity in the pool. As users add liquidity, initiate loans, repay debt, or withdraw funds, utilization shifts, and the protocol updates interest rates accordingly. Supply Caps Supply caps define the maximum amount of a specific asset that may be deposited into the protocol. They function as a risk control mechanism to limit exposure to volatile or exploit-prone assets. Their configuration is optional and typically informed by the asset’s on-chain liquidity and the pool’s total collateral base.