> ## Documentation Index > Fetch the complete documentation index at: https://docs.sprinter.tech/llms.txt > Use this file to discover all available pages before exploring further. # Sprinter Liquidity > Sprinter Liquidity is a credit-based liquidity protocol for crosschain solvers and liquidity providers # Sprinter Liquidity Sprinter Liquidity is a credit-based liquidity protocol that connects stablecoin LPs with crosschain actors like solvers and strategists, bridging the gap between passive capital and high-frequency, crosschain demand. ## Why Sprinter Liquidity? ### For Liquidity Providers Sprinter Liquidity is for liquidity providers looking for an attractive yield opportunity based on a new DeFi primitive: * **High Yield & Low Risk:** Sprinter Liquidity utilizes multiple yield sources to maximize capital efficiency and returns: LPs earn from service fees paid by solvers to access credit as well as proven passive yield sources (such as lending protocols) ensuring low risk. Staking earns additional rewards through SPRNT token emissions. * **Secure & Credible:** MPC-secured multi-party threshold signing, risk mitigation mechanisms, and smart contract audits by [Veridise](https://github.com/sprintertech/sprinter-stash-contracts/blob/main/audits/VAR_Sygma_labs_Sprinter_liquidity_250212-final.pdf) and [Spearbit/Cantina](https://cantina.xyz/portfolio/fe3c634c-d06d-47c2-a70a-f19d2f820f58) make Sprinter Liquidity a secure platform. Built in partnership with [ChainSafe](https://chainsafe.io), a team with 7+ years of industry expertise across core protocol development, standardization/EIPs and security audits/council work. ### For crosschain DeFi Sprinter Liquidity enables capital-efficient crosschain execution by removing the need for pre-funded liquidity pools or collateralized loans. Liquidity is automatically managed across chains via a variety of rebalancing and netting protocols. At launch, Sprinter Liquidity initially supports solvers filling orders in: * Across * LiFi Intents * Mayan Finance * Rhinestone ## How Sprinter Liquidity Works 1. **Liquidity Providers deposit USDC on Base from any chain into the protocol's liquidity hub** - Receiving spUSDC-LP tokens in return. Liquidity is then managed across the pools on supported chains. 2. **Solvers access liquidity instantly, without collateral** – Solvers execute their fills through Sprinter Liquidity. After a fill is completed via credit, Sprinter receives the deposited funds on the source chain, repaying the credit and keeping profits for LPs and solvers. It works as a closed credit system where the MPC validates all intents to be filled and ensures credit will be repaid. 3. **LPs earn dynamic rewards** – Yield is optimized through a combination of base yield from supply in lending protocols, such as Aave, and yield from solver borrow fees. LPs are also eligible to earn staking rewards in the form of SPRNT emissions, with higher multipliers for longer locks in addition to bonus incentives for earlybirds. 4. Once **fills are completed**, Sprinter receives funds on the source chain, repays the credit, and distributes profits to LPs and solvers. By bringing together **liquidity providers and solvers**, Sprinter Liquidity creates a more efficient and scalable solver environment for the entire DeFi ecosystem. It launches with supported: * **Destination Networks** - Base, Arbitrum, Optimism * **Tokens** - DAI, ETH/WETH, USDC, USDT, WBTC * **Protocols** - Any EVM crosschain bridge/swap protocol such as 1inch Fusion+, Across, Debridge Liquidity Network, Everclear, Mayan.Finance with many more upcoming * **Rebalancing/Inventory Management** - CCTP, native Bridges, Everclear ## How Sprinter Liquidity Enables Zero-Collateral Loans Sprinter Liquidity enables solvers to borrow liquidity with near zero collateral, and achieves this through a series of mechanisms below: #### 1. Approved Solvers On launch only approved solvers can access credit. These solvers: * Undergo screening and onboarding by the Sprinter team * Must use authenticated API keys tied to their accounts * Are rate-limited and monitored to ensure responsible usage Sprinter also tracks solver performance and creditworthiness over time. Solvers who consistently repay on time may be granted higher limits, while misbehavior results in penalties or revoked access with both informed through regular reviews of: * Fill accuracy and repayment behavior * Volume solved and protocols interacted with * On-chain and off-chain repayment events #### 2. Transaction-Level Guarantees Each fill is validated against the user's original intent using: * Verified source deposits (e.g. via Across) * MPC-signed authorization signatures * Controlled function execution (via calldata) Sprinter acts as an intermediary: the solver never touches user funds directly. The system ensures that repayment is guaranteed by the user's transaction on the source chain before the solver receives liquidity. #### 3. Protocol Guardrails & Limits Sprinter enforces: * Per-solver daily limits (to minimize exposure) * Per-transaction liquidity caps * Circuit breakers triggered by irregular repayment behavior * Slashing (or bond requirements) for higher-risk integrations #### 4. Solver Risk / Repayment Liquidity pools initiate the execution, not the solver. The solver does not pull funds itself, but merely instructs the pool and as such never custodies capital. There are no scenarios where a solver can "not execute" or misdirect funds. #### 5. Liquidity Provider Risk Sprinter Liquidity is a closed credit system with controlled flows, so solvers cannot lose LP funds. The remaining risks are the same as any DeFi protocol: Security risks in the protocol itself and in the protocols we use (e.g. Aave). We only integrate with partners who meet strict security standards and have strong audit histories as ourselves. ## Fees Sprinter Liquidity handles crosschain liquidity fills. Revenue is generated from the spread between the amount the user deposited on source and the amount provided on the destination. ### Revenue Components * **Fill Revenue:** Amount user deposits on source - amount sent to user on destination * **Borrow Costs:** Cost of liquidity borrowing and crosschain repayment. * **Solver Costs:** Gas fees and execution costs fronted by solvers. ### Profit Calculation ``` Fill Profit = Fill Revenue - Borrow Costs - Solver Costs ``` ### Monthly Distribution 1. Withdraw raw profits from liquidity pools. 2. Deduct solver gas costs. 3. Distribute monthly fill profits to: | Actor | Description | Fill Profit % | | -------- | ------------------------------------- | ------------- | | Solvers | For executing fills | 50% | | LPs | For providing liquidity | 50% | | Treasury | Protocol growth & sustainability fund | TBD | *Initial fee split is reviewed monthly by governance.* ## Start integrating For DeFi solvers: check out the [Sprinter Liquidity Integration Guide](/stash-v1/integration-guide).