Lending & Borrowing
The Canto Lending Market at canto.io/lending allows users to lend and borrow assets. At this time eligible collateral assets include USDC and USDT, but new collateralization assets such as LP tokens will be added to maximalize capital efficiency.
To supply an asset to the Canto Lending Market, follow these steps:
- 1.
- 2.Enter the quantity of the asset you wish to supply. If necessary, approve the token's transfer.
- 3.Click "Supply" and confirm the transaction in your wallet.
Once the transaction has been mined, asset-specific cTokens will be minted to your wallet. These tokens represent your lending position and are automatically burnt when withdrawing the supplied asset.
To withdraw a supplied asset from the Canto Lending Market, follow these steps:
- 1.
- 2.Switch to the
withdraw
tab and enter the quantity of the asset you wish to withdraw. - 3.Click "Withdraw" and confirm the transaction in your wallet.
If you have open borrow positions, note that you will not be able to withdraw if the hypothetical
borrow limit used
exceeds 100%, as this would result in liquidation.In order to borrow an asset from the Canto Lending Market, you must collateralize your supply positions. The amount you can borrow is directly related to the collateral factor of each specific token and how much you have supplied in the market.
To collateralize an asset, follow these steps:
- 1.
- 2.Click on the collateral switch for that asset.
- 3.In the modal that opens, click "enable asset collateral" and confirm the transaction in your wallet.
To decollateralize an asset, follow these steps:
- 1.
- 2.Click on the collateral switch for that asset.
- 3.In the modal that opens, click "disable asset collateral" and confirm the transaction in your wallet.
This button is disabled if decollateralizing the asset would put you above 80% of your borrow limit, since this could lead to liquidation.
In order to borrow an asset, there must be enough supply in the Canto Lending Market to borrow against. To do so, follow these steps:
- 1.
- 2.Enter the quantity of the asset you wish to borrow.
- 3.Click "Borrow" and confirm the transaction in your wallet.
Note that it is possible to manually enter a borrow amount whereby the
borrow limit used
exceeds 80%, but this is not advisable due to liquidation risk.To repay a borrowed asset, follow these steps:
- 1.
- 2.Switch to the
repay
tab and enter the quantity of the asset you wish to repay. If necessary, approve the token's transfer. - 3.Click "Repay" and confirm the transaction in your wallet.
To claim liquidity mining rewards, click on
claim LM rewards
on the canto.io/lending homepage. Then, click "Claim" and confirm the transaction in your wallet.Liquidity mining rewards are paid out in $WCANTO, the wrapped ERC20 equivalent of $CANTO. You can unwrap $WCANTO or trade with it directly on third-party DEX interfaces such as Slingshot.
Last modified 9mo ago