Tokenized Leverage

Tokenized leverage is a key feature of Lekker, enabling applications to allow users to create new tokens representing an underlying leveraged pair.

These tokens are called K Tokens, and they can be minted and burned to increase or reduce exposure in the underlying leveraged pair.

The maximum leverage ratio is dependent on the asset pair and lending protocol parameters. For example, if the lending protocol allows 90% LTV (Loan to Value) on a given asset, then the maximum leverage with that asset LONG will be 10x.