> ## Documentation Index
> Fetch the complete documentation index at: https://docs.pulend.art/llms.txt
> Use this file to discover all available pages before exploring further.

# Pulend 101

> Learn the basics of NFT-collateralized lending

## What is Pulend?

Pulend is a lending protocol built on **Arbitrum** that allows users to:

* **Borrow** stablecoins using NFT assets as collateral
* **Earn** interest by supplying liquidity to the protocol
* **Unlock liquidity** without selling valuable NFTs

## Key Concepts

### Collateral

NFT assets deposited into the protocol serve as collateral for loans. Each NFT asset has a floor price determined by the oracle, which sets the maximum borrowing power.

### Loan-to-Value (LTV)

The LTV ratio determines how much you can borrow against your collateral. For example, with 70% LTV and an NFT worth $1000, you can borrow up to $700.

### Interest Rates

Interest rates are dynamic and adjust based on pool utilization:

* **Low utilization** → Lower rates to encourage borrowing
* **High utilization** → Higher rates to attract suppliers

### Health Factor

Your position's health factor indicates liquidation risk:

* **Above 1.0** → Safe
* **Below 1.0** → Eligible for liquidation

## User Roles

| Role           | Actions                                                   |
| -------------- | --------------------------------------------------------- |
| **Borrower**   | Deposit NFT collateral, borrow tokens, repay loans        |
| **Supplier**   | Provide liquidity, earn interest, withdraw anytime        |
| **Liquidator** | Repay unhealthy positions, receive collateral at discount |

## Next Steps

<CardGroup cols={2}>
  <Card title="How It Works" icon="gears" href="/how-it-works">
    Dive deeper into protocol mechanics.
  </Card>

  <Card title="Quick Start" icon="rocket" href="/quickstart">
    Set up and run locally.
  </Card>
</CardGroup>