Lending Market - how to supply

Users can supply tokens as collaterals to borrow desired assets from Pawnfi Lending Market.

Of course, you can merely supply tokens to earn accrued interest from other borrowers.

1. Loan -> Lending

2. Select the asset that you would like to supply

3. Enter the amount that you would like to supply

You will see below information in the pop-up window

• APY

• Collateral Factor: Borrow Limit = Σ Supplied Value*Collateral Factor

• Impact on Supply Balance and Borrow Limit Used

4. Approve -> Submit transaction

After confirming all the information, click [Approve] button to approve the transaction. After approval, click [Supply] button to initiate transaction. Once completed, you will be seeing the supplied assets under "Supplying".

5. How to supply NFT?

In step 2 and step 3, if you choose to supply NFT, you will see below windows

When supplying NFT, it is actually "P-Token" doing the work - Pawnfi Protocol will automatically exchange your NFT into P-Token (1 NFT= 1000 corresponding P-Token) and supply to the Lending Market. These P-Token will be showing on your account. You can use them as collateral to borrow other assets. Of course, you can freely withdraw you supplied NFT as long as you have enough amount of corresponding P-Token on your position.

In above example, user supplied 1 BAYC and 600 P-BAYC. However, there will be 1,600 P-BAYC showing on his/ her position.

Please see this doc for more information on P-Token.

1. Selection order defines which collateral is seized in liquidation first. The smaller the number, the higher the priority for liquidation.

2. By default, the newly supplied NFT will be given a higher priority for liquidation than older one. However, you can still customize the liquidation order at your own will.