LP Finance Documentation

In this document, the background behind the protocol design and economic model is explained.

LP Finance is a decentralized synthetic asset issuance protocol on Solana. LP Finance designed Protocol Debt Vault (PDV) and liquidity provider incentives advancing stability fees to dramatically enhance scalability of synthetic assets.

At a high level, the protocol allows users to leverage zSOL to create strategies such as leveraged liquid staking and short selling. Liquidity providers can earn interest rates and swap fees at the same time.

On LP Finance, users can do the following:

• Leverage SOL staking yields

• Short-sell

• Earn interest by providing liquidity