> For the complete documentation index, see [llms.txt](https://docs.curvance.com/app/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.curvance.com/app/protocol-overview/liquidity-markets.md).

# Liquidity Markets

Curvance enables users to deposit one asset as collateral while the protocol lends that liquidity to another user who borrows a different asset. Both sides of the market can remain productive, allowing deposits to generate yield while also unlocking borrowing capacity.

### Supply Side

When you deposit an asset into Curvance, it enters the lending pool and becomes available for other users to borrow. Your deposit will typically continue earning underlying yield if the asset supports it. In most markets, deposits can also be enabled as collateral to unlock borrowing power.

**Key Advantages**

* Earn interest from borrowers and, where supported, from underlying yield sources.
* Optionally enable deposits as collateral to access liquidity.
* Withdraw at any time after the 20 minute cooldown unless the market is fully utilized.

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**Why is there a 20-minute wait after I add collateral or borrow?**

Whenever you deposit collateral or take out a borrow, Curvance applies a 20-minute holding period during which you can't withdraw, repay, or transfer that position. This protects against price-manipulation attacks, where someone briefly distorts an asset's price to open an oversized position and cash out before the price corrects. Once 20 minutes have passed since your last deposit or borrow, your position behaves normally again.
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### Borrow Side

**Access liquidity while keeping assets productive**

Users can borrow asset B against their deposit of asset A. Deposited collateral continues to earn yield while enabling access to new capital. This opens the door to strategies such as looping, hedging, funding rate arbitrage, or directional exposure.

**Key Advantages**

* Access industry leading LTVs 
* Borrow while retaining yield on collateral.
* Access liquidity without selling or unwinding your existing position.
* One click leverage and strategy execution through position manager tools.

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Some markets are **unidirectional**, meaning only one side of the pool can be borrowed, while the other side may only be supplied as collateral and cannot be borrowed. This structure is typically used for pools with yield-bearing collateral assets, such as LSTs. Other markets are **bidirectional**, meaning both sides of the pool can be supplied as collateral and borrowed, and are typically used when both assets are standard ERC-20 tokens.
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