# How is yield Generated? Arctic protocol provides full or or partial Liquidity to users at an interest rate of 5 \~ 10% per month. In certain cases the protocol may generate revenue by collecting a percentage of revenue from taxed tokens. Taxable tokens will feature a lower initial interest rate but must undergo a pre-approval process. \ The LP tokens for the pool are held as collateral for the loan until duration expires or loans are repaid completely. This guarantees that all loans are fully secured, significantly reducing the operational risk. --- # 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://arcticai.gitbook.io/arctic-protocol/how-is-yield-generated.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.