> For the complete documentation index, see [llms.txt](https://arcticai.gitbook.io/arctic-protocol/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://arcticai.gitbook.io/arctic-protocol/how-is-yield-generated/liquidations..md).

# Liquidations.

Deployers can decide to increase the duration of loan cycle or re-pay the initial loan amount to claim ownership of the LP tokens. In a scenario where the loan is abandoned the protocol will claim the assets attached to the LP token.