CONFIDENTIAL & PROPRIETARY © 2025 Inkwell Finance, Inc. All Rights Reserved. This document is for informational purposes only and does not constitute legal, tax, or investment advice, nor an offer to sell or a solicitation to buy any security or other financial instrument. Any examples, structures, or flows described here are design intent only and may change.
Overview
Supplying liquidity to Leviathan means depositing capital into a lending pool. In return, you receive LP tokens — fungible tokens that represent your proportional share of the pool’s total value. As borrowers pay interest on their loans, the value of your LP tokens increases.How to Deposit
Select a Pool
Browse available pools on the Supply page. Each pool displays its current APY, total deposits, utilization rate, and risk profile.
Enter Amount
Enter the amount you’d like to deposit. The app shows the estimated LP tokens you’ll receive based on the current exchange rate.
Understanding LP Tokens
LP tokens are standard SPL tokens with several important properties:- Appreciating value — the exchange rate between LP tokens and the underlying asset increases as interest accrues from borrower repayments
- Transferable — LP tokens can be transferred to other wallets or used in other DeFi protocols
- Redeemable — LP tokens can be burned to withdraw your share of the pool at any time, subject to available liquidity
Exchange Rate
When you deposit, the current exchange rate determines how many LP tokens you receive. Over time, as interest accumulates in the pool, the exchange rate increases. When you withdraw, you redeem LP tokens at the current (higher) rate — the difference is your earned yield.Tracking Your Earnings
The Supply page shows real-time information about your positions:| Metric | Description |
|---|---|
| Deposited Value | Current value of your LP token holdings in the underlying asset |
| Initial Deposit | The amount you originally deposited |
| Earnings | The difference between current value and initial deposit |
| Current APY | The pool’s current annualized yield rate |
| Pool Utilization | Percentage of pool capital actively deployed in loans |
Withdrawing
To withdraw your capital:Enter Withdrawal Amount
Enter the amount to withdraw (in underlying asset terms) or the number of LP tokens to redeem.
Withdrawal Availability
Withdrawals are subject to available liquidity in the pool. If most of the pool’s capital is currently deployed in active loans, there may not be enough idle capital to fulfill your full withdrawal immediately. In this case, you can:- Withdraw partially — withdraw whatever amount is currently available
- Request a withdrawal — place a withdrawal request that will be fulfilled as capital returns to the pool from loan repayments
Choosing a Pool
Different pools may have different characteristics:| Factor | What to Consider |
|---|---|
| APY | Higher yields generally come with higher risk exposure |
| Utilization | High utilization means more capital is earning yield, but less is available for immediate withdrawal |
| Borrower quality | Pools targeting higher-tier borrowers may offer lower yields but reduced default risk |
| Asset type | Pools may accept different deposit assets (e.g., USDC, SOL) |