Liquidity Pools
Learn how liquidity pools work in Cora
Liquidity pools are a fundamental element of the Cora leverage staking architecture. They are responsible to manage the full liquidity of the protocol and to integrate seamlessly with multiple Liquid staking protocols through the LSPManager smart contract.
Suppliers simply deposit ETH (or LSTs) to the liquidity pool and then a position is created.
The best way to imagine what happens when a supplier deposits into a liquidity pool is to visualise an order book with all the positions ordered by interest rate and maturity.
Once a match is found, the positions are taken from top to bottom, to fill the order.
For more information check the order router page.
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