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Lending & Earning
Lending on Qubit

How does lending work?

Lenders start by providing liquidity, depositing Tokens to Qubit’s Supply Markets.
You lend assets by providing liquidity to Qubit’s Supply Markets, i.e. by supplying tokens to lending pools for specific Tokens. In return for providing liquidity to a specific Supply Market, you receive qTokens that represent a proportional share of that lending pool. A lending pool holds: 1) all of the liquidity provided by suppliers in a specific money market as well as, 2) all of the interest that has accrued over the duration that the liquidity was supplied.
For example, suppose you are interested in lending BNB and earning interest on the liquidity you have supplied. To do so, simply select the BNB Market from the list of Supply Markets and supply the desired amount of BNB. In return for supplying BNB, you will receive newly minted qBNB on a 1-to-1 basis. When you are ready to leave the market, simply redeem qBNB for the BNB you supplied as well as for your share of accrued interest, and the qBNB is immediately burned.

What are qTokens?

qTokens are utility tokens issued to lenders when they provide liquidity to a liquidity pool.
qTokens are pegged 1-to-1 to the number of Tokens that you as a Lender provides. The number of qTokens you receive stands directly for the number of Tokens you have supplied. Consequently, qTokens also represent a proportional share of the total interest that has accrued throughout the period that your Tokens were committed to the liquidity pool.
Last modified 3mo ago