ℹ️FAQ

Quick answers-links to the most frequently asked questions.

This section provides answers to frequently asked questions. For additional information, refer to the page titles in the document navigation on the left, where each section covers specific topics in detail.

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- What fees am I paying? With Adrastea Finance’s leverage strategy, fees depend on your user type. For USDC lenders, there is a small percentage incentive on withdrawals only. The exact percentage will be announced after the beta phase. Currently, the incentive is 0.1% of the withdrawal amount. This incentive is designed to encourage long-term holding of USDC deposits. If you are a leverage user, you pay no fees for using the protocol.

- Will my APY for supplying liquidity go down or up? The APY is variable and depends on the utilization ratio formula which is configurable by team and lately will be passed to DAO configuration.

- Сan I always withdraw liquidity from USDC vault?

Conceptually, yes.

Depending on the pool’s utilization ratio, not all liquidity may be withdrawable at once if the utilization is high. We have designed a 70% target utilization rate to ensure 30% of liquidity is available for withdrawal. This doesn’t indicate that the protocol has lost money or is insolvent; it simply means the liquidity is being utilized in the Leverage Vault. When available liquidity is low, the APY increases to attract more capital providers and achieve equilibrium. This mechanism is standard among lending protocols like Compound and Aave. Adrastea DAO will be able to adjust the utilization curve parameters to influence protocol behavior in unusual situations. - Why am I receiving less than my original deposit when closing my JLP position, even though I’m in profit?

To close your position, Adrastea needs to swap your leveraged JLP on Meteora back to the borrowed USDC in the USDC vault. Unfortunately, each swap incurs fees to Meteora and experiences slippage. If you haven’t claimed your profits yet, Adrastea will attempt to use a portion of your profits to cover the slippage and Meteora fees.

If you find the current slippage too high, you are free to wait and try again later.

We are working on introducing a custom slippage feature, allowing you to select your preferred slippage when closing your position.

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