Liqwid Finance
#1 LendingNon-custodial algorithmic lending protocol — the DeFi leader on Cardano
What is Liqwid Finance?
Liqwid Finance is the leading decentralized lending protocol on Cardano. It allows users to supply assets to earn interest or borrow against their collateral — all through non-custodial, algorithmically managed liquidity pools. Liqwid is the closest equivalent to Aave or Compound on Cardano.
Key Features
Supply & Earn
Deposit ADA, DJED, or other supported assets into Liqwid pools and earn variable interest paid by borrowers. Interest accrues continuously on-chain.
Collateralized Borrowing
Lock assets as collateral to borrow other tokens. Liqwid uses overcollateralization and automatic liquidations to keep the protocol solvent.
qTokens
When you supply assets, you receive qTokens (e.g. qADA) representing your deposit plus accrued interest. These are liquid and can be transferred or used in other protocols.
LQ Governance Token
LQ token holders govern the protocol — voting on interest rate models, supported assets, risk parameters, and treasury allocation.
How to Use Liqwid Finance
- 1
Connect your Cardano wallet at liqwid.finance
- 2
Navigate to the Markets tab and choose an asset to supply
- 3
Enter the amount and confirm the supply transaction
- 4
To borrow, first supply collateral, then go to Borrow and select the asset you need
- 5
Monitor your health factor to avoid liquidation — keep it well above 1.0
Frequently Asked Questions
What is a health factor in Liqwid?
The health factor measures the safety of your borrow position. A value above 1.0 means you are safe; if it drops below 1.0, your collateral can be partially liquidated to repay the debt.
What assets can I supply on Liqwid?
Liqwid supports ADA, DJED, iUSD, and other major Cardano tokens. The full list of supported markets is available in the Liqwid app.
Is Liqwid Finance audited?
Yes. Liqwid is one of the most audited protocols on Cardano, with multiple security reviews from Cardano-specialized firms including Anastasia Labs.
What is LQ token?
LQ is Liqwid's governance token. It is earned by supplying and borrowing on the protocol, and used to vote on risk parameters, new asset listings, and protocol upgrades.