> For the complete documentation index, see [llms.txt](https://docs.yei.finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.yei.finance/products/yeilend/borrow.md).

# Borrow

By depositing supported tokens as collateral at Yei Finance, you gain the ability to borrow various assets. The terms of borrowing, such as the Loan-to-Value (LTV) ratio, conform to predefined risk parameters, with interest accruing according to these terms.

### **How to Borrow?**

#### **Preparing to Borrow**

To enable borrowing, first deposit assets as collateral. The maximum amount you can borrow depends on:

* The value of your deposited assets.
* The type of assets you have deposited.
* The liquidity available in the assets you wish to borrow.

#### **Borrowing Procedure**

To borrow assets from Yei Finance, follow these straightforward steps:

1. **Access the Dashboard:** Begin by navigating to the Yei Finance dashboard as you would for other transactions.
2. **Select the Asset:** Go to the “Assets to Borrow” section, find the asset you wish to borrow, and click the “Borrow” button.
3. **Specify the Amount:** Enter the desired borrowing amount manually or use the 'max' option to select the highest permissible amount based on your collateral.

   <figure><img src="/files/mkfFSoe73eAf87h6qrpl" alt=""><figcaption></figcaption></figure>
4. **Review Terms:** Carefully review all associated terms, including any warnings, the Gas Fee, and your Health Factor.
5. **Acknowledge Risks:** If presented, tick the box to acknowledge the risks involved in borrowing.

   <figure><img src="/files/YPxtcYeCZV4BpS7WsJX9" alt=""><figcaption></figcaption></figure>
6. **Confirm Transaction:** Click the "Borrow Asset" button to finalize the borrowing process.

   <figure><img src="/files/NwiNn2VwHw52WZnYJuZv" alt=""><figcaption></figcaption></figure>

#### **Potential Risks of Borrowing**

Borrowing carries inherent risks, especially if market conditions fluctuate significantly:

* **Risk of Liquidation:** If your Health Factor falls below 1, the protocol may initiate liquidation of your collateral to cover the debt, which could lead to substantial losses.

#### **Borrow Caps**

Borrow caps define the maximum amount of an asset which can be borrowed. Borrow caps can be used to prevent traditional and flash borrowing of an asset which may experience a price exploit and lead to protocol insolvency. A borrow cap is an optional parameter, and the value will depend on-chain liquidity of the asset and total volume of borrowed assets in the pool.