> ## Documentation Index
> Fetch the complete documentation index at: https://docs.jup.ag/llms.txt
> Use this file to discover all available pages before exploring further.

# Protocol Details

> Key terms and metrics across Jupiter Lend: vaults, position NFTs, withdrawal and borrow limits, and protocol parameters.

This page provides a clear overview of the key terms and metrics used across Jupiter Lend products.

## Vault

A vault is a market on Jupiter Lend composed of a collateral asset and a debt asset (e.g., SOL/USDC, mSOL/SOL, JUICED/USDC).

The term "vault" can refer to two distinct things depending on context:

* **Position vault** — a user's individual borrowing position in a given market. Each Borrow or Multiply position creates its own position vault, identified by a Position NFT. This is the meaning used on the Borrow and Multiply pages.
* **Lending pool / market** — the shared liquidity layer for a given asset pair, used by all participants. This is the meaning used on the Earn and Statistics pages.

When the distinction matters, the documentation specifies "position vault" or "lending pool".

## Pegged Vault

A pegged vault is a vault where the collateral and debt assets are correlated and priced using on-chain redemption rates rather than market prices. Examples include JupSOL/SOL, INF/SOL, JUICED/USDC.

Because the price comes from on-chain redemption rates, market price fluctuations do not directly cause liquidations on pegged vaults. The main liquidation risk comes from rate divergence (Borrow APY exceeding Supply APY for a sustained period). Pegged vaults are used in Strategies and in some Multiply positions.

## Position NFT

Each position in a vault is represented by an NFT. This NFT represents the vault, including its debt and collateral assets. The NFT can be moved freely; transferring it to another wallet transfers the entire position.

Do not burn this NFT. It is required to manage and withdraw the funds associated with the position.

## Position Parameters

<AccordionGroup>
  <Accordion title="Net APY">
    The annual return on the position's net value (total collateral minus total debt). Formula: ((supply amount × supply APY) - (borrow amount × borrow APY)) / (supply amount - borrow amount). All amounts in USD. The result applies to net value only, not total collateral. Displayed as Net APY across the interface (previously labelled Final APY).
  </Accordion>

  <Accordion title="Collateral Factor (LTV)">
    The maximum percentage of the collateral that can be borrowed against. Also called Loan-to-Value.
  </Accordion>

  <Accordion title="Liquidation Threshold (LT)">
    The debt-to-collateral ratio at which the position becomes eligible for partial liquidation. Always higher than the LTV.
  </Accordion>

  <Accordion title="Liquidation Max Limit (LML)">
    The ratio above which the position exits the tick system and is fully liquidated to zero.
  </Accordion>

  <Accordion title="Liquidation Price">
    The collateral price at which the position would reach the Liquidation Threshold. Generally shown as liquidation price / current price of collateral.
  </Accordion>

  <Accordion title="Liquidation Penalty">
    An additional amount taken from your collateral during liquidation to reward the liquidator. Varies by vault. For example, with a 1% penalty, for every \$100 of collateral sold during liquidation, an extra \$1 is given to the liquidator.
  </Accordion>

  <Accordion title="Position Health">
    The status that shows how close your position is to liquidation. It reflects your current debt-to-collateral ratio relative to the Liquidation Threshold. The closer you are to the threshold, the higher the risk.
  </Accordion>

  <Accordion title="Ratio">
    Dollar value of debt divided by dollar value of collateral (D/C ratio).
  </Accordion>

  <Accordion title="Utilization Rate">
    The ratio of borrowed amount to total supplied amount for a given asset across the protocol. Utilization is measured at the token level: it reflects how much of that asset has been borrowed relative to how much has been supplied across all vaults. Higher utilization typically results in higher interest rates for both lenders and borrowers.
  </Accordion>

  <Accordion title="Tick">
    A specific debt-to-collateral ratio level inside a vault. Jupiter Lend groups positions with similar ratios into ticks for efficient liquidation processing. Ticks are spaced by 0.15% and are shared globally within a vault.
  </Accordion>

  <Accordion title="Flashloan">
    A loan that is borrowed and repaid within a single atomic transaction. Jupiter Lend uses flashloans internally to enable looped operations like Multiply, Strategies, and Unwind, where multiple steps (borrow, swap, redeposit) execute together. The user does not interact with the flashloan directly.
  </Accordion>

  <Accordion title="Supply APR">
    Rate earned per year for supplying the collateral asset.
  </Accordion>

  <Accordion title="Borrow APR">
    Rate paid per year for borrowing the debt asset.
  </Accordion>

  <Accordion title="Supply Absorb">
    The collateral absorbed by the protocol from a borrower who becomes undercollateralized.
  </Accordion>

  <Accordion title="Borrow Absorb">
    The borrower's debt settled during the process of collateral absorption in liquidation.
  </Accordion>
</AccordionGroup>

## Smart Vaults and DEX

Terms introduced with Jupiter Lend v2 (August 2026). For the full explanation, see the [Smart Vaults page](/user-docs/earn/lend/smart-vaults).

<AccordionGroup>
  <Accordion title="Smart Vault">
    A vault where the collateral, the debt, or both are token pairs serving as liquidity for Jupiter AMM. Three types exist: Normal Collateral & Smart Debt, Smart Collateral & Normal debt, and Smart Collateral & Smart Debt.
  </Accordion>

  <Accordion title="Smart Collateral">
    A collateral position composed of a token pair that doubles as DEX liquidity. It earns trading fees (Trading APR) on top of lending yield and any native asset yield.
  </Accordion>

  <Accordion title="Smart Debt">
    A debt position composed of a token pair that doubles as DEX liquidity. Trading fees routed through the debt offset part of the Borrow APY, and can exceed it temporarily.
  </Accordion>

  <Accordion title="Smart Earn">
    A separate, supply-only product built on Jupiter AMM pools: a token pair deposited as pool liquidity, earning lending and trading fees, with no borrowing, no debt, and no liquidation risk. Shown on the Smart Vaults page for navigation, but not a smart vault position.
  </Accordion>

  <Accordion title="Max Supply (Smart Earn)">
    The supply cap of a Smart Earn vault's pool. Deposits stop once the cap is reached. Displayed in the vault's modal alongside Current Supply.
  </Accordion>

  <Accordion title="Trading APR">
    The rate generated by trading fees flowing through a smart position. Displayed as a separate component: positive on the Supplied Collateral side, negative on the Borrowed Debt side. It varies with the volume routed through the pool.
  </Accordion>

  <Accordion title="Variable Proportion">
    An input mode for actions on a smart pair. You can input either token, or both, in any amounts; the protocol swaps internally to match the pool's ratio. The internal swap is charged the pool's DEX trading fee.
  </Accordion>

  <Accordion title="Fixed Proportion">
    An input mode for actions on a smart pair. You input one asset and the second asset's amount is auto-calculated so both legs match the pool's ratio exactly, with no internal swap fee.
  </Accordion>

  <Accordion title="Composition Risk">
    The token mix of a smart pair shifts continuously as traders swap through the pool, while the total value is unaffected by the shift itself. Minimal on stable pairs, small on correlated pairs.
  </Accordion>

  <Accordion title="Pool Price">
    The current price of the pair inside a Jupiter AMM pool.
  </Accordion>

  <Accordion title="Center Price">
    The price a DEX pool concentrates its liquidity around. When the pool price reaches the bounds of the range, the pool rebalances around a new center.
  </Accordion>

  <Accordion title="Lower / Upper Range">
    The bounds of the liquidity concentration range around the Center Price, expressed as prices and as a percentage width.
  </Accordion>

  <Accordion title="Shift Time">
    The duration of a range shift while a pool rebalances around a new center. Displayed as Inactive when no shift is in progress.
  </Accordion>

  <Accordion title="Trading Fees (DEX)">
    The fee charged on swaps routing through a DEX pool. Set per pool and displayed on the Statistics page.
  </Accordion>

  <Accordion title="Revenue Cut">
    The percentage of a pool's trading fees that goes to the protocol. The remainder accrues to the positions providing the pool's liquidity.
  </Accordion>

  <Accordion title="Total Effective Reserves">
    The combined USD value of a DEX pool's reserves backing trading, across both legs of the pair.
  </Accordion>
</AccordionGroup>

## Withdrawal Limits

<AccordionGroup>
  <Accordion title="Base Limit">
    The minimum level the withdrawal ceiling can contract to. Further expansion happens from this base.
  </Accordion>

  <Accordion title="Current Limit">
    The active withdrawal ceiling. If it is \$0, 100% of users can withdraw.
  </Accordion>

  <Accordion title="Expand Percentage">
    The rate at which limits increase or decrease over the given duration.
  </Accordion>

  <Accordion title="Expand Duration">
    The time window for which the limits expand at the given rate.
  </Accordion>

  <Accordion title="Withdrawable">
    Amount available for instant withdrawal.
  </Accordion>

  <Accordion title="Withdrawal Gap">
    Safety non-withdrawable amount reserved to guarantee liquidations.
  </Accordion>
</AccordionGroup>

## Borrow Limits

<AccordionGroup>
  <Accordion title="Base Limit">
    The minimum available borrowing amount for a vault. Further expansion happens from this base.
  </Accordion>

  <Accordion title="Current Limit">
    The active borrowing ceiling.
  </Accordion>

  <Accordion title="Max Limit">
    Maximum ceiling above which it is not possible to borrow.
  </Accordion>

  <Accordion title="Expand Percentage">
    The rate at which borrowing limits adjust over time.
  </Accordion>

  <Accordion title="Expand Duration">
    The time window for which the limits expand at that rate.
  </Accordion>

  <Accordion title="Borrowable">
    Amount available for instant borrowing.
  </Accordion>
</AccordionGroup>