Using The App

# Earn

The Earn page lets liquidity providers deposit collateral into S&F pools.

Liquidity providers take the counterparty side of trader positions. They can earn funding rate and swap fees, while also being exposed to trader profit and loss.

For the deeper mechanism, read Liquidity and Funding Rate.

# Deposits

The deposit value includes principal, funding rate, swap fees, and trader PnL.

S&F positions are auto-compounded, so rewards are reflected in the position value instead of requiring a separate claim action.

# APY and PnL

APY shows the yearly rate earned by the position. It can include both active and inactive liquidity depending on the pool state.

PnL measures the position's profit and loss after accounting for funding rate, swap fees, and trader PnL.

# Activation rate

The activation rate is the minimum funding rate at which your liquidity should be used.

If the pool rate is below your activation rate, your position is inactive and does not earn funding rate or swap fees. If the pool rate reaches your activation rate, the position can become partially or fully active.