# Borrow & Lend * ​[Lending](/technical-docs/borrow-and-lend/lending.md)​ * ​[Borrowing](/technical-docs/borrow-and-lend/borrowing.md)​ * ​[Utilization](/technical-docs/borrow-and-lend/utilization-and-interest-rates.md) [and Interest Rates](https://app.gitbook.com/o/1pzK7I96ua1kPK2SCiPg/s/3kiM6CAFBZoTCJcZ8X7k/borrow-and-lend/utilization-and-interest-rates)​ * ​[Liquidations](/technical-docs/borrow-and-lend/risks.md)​ *** Backpack features an omnichain money market where users can lend and borrow a variety of assets. Users can deposit from any chain to lend in the unified pool, or borrow against their collateral and withdraw to any supported network - all without bridging. This omnichain money market is a core component of Backpack’s margin system, allowing users to trade with the highest level of capital efficiency. Lenders can earn yield on their assets by supplying liquidity into the lending pool, which can be borrowed by other users for the following purposes: 1. Spot margin trading 2. USDC settlements for perpetual futures trading 3. Withdraw off the exchange Unlike most centralized exchanges, interest rates on Backpack are determined by a transparent Utilization Rate model, which users can view at any time on the Lend page. The utilization rate represents the proportion of lent assets that are currently borrowed for a given market. Higher utilization rates indicate stronger borrowing demand, resulting in higher interest rates. Interest rates are calculated and paid every hour. To protect lenders, all borrows are subject to Backpack’s margin requirements and real time liquidation system. This means that no user can borrow without meeting the necessary collateral requirements, and in the event that their margin fraction drops below the necessary levels, Backpack will immediately begin liquidating their position. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://support.backpack.exchange/technical-docs/borrow-and-lend.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.