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

# Ecosystem-Routed Liquidity

> Planned allocation of managed funds to KRW* markets.

[한국어로 읽기](https://docs.batt.farm/ecosystem-routed-liquidity.md)

Through Ecosystem-Routed Liquidity (ERL), batt plans to supply funds it manages to markets that use KRW\*.

> [!NOTE]
>
> We plan to place initial sKRW\* deposits only in the SP. Allocating funds to external markets through ERL is planned for a later stage. We have not yet published confirmed markets or the share of funds each would receive.

## How ERL differs from ERI

Rewards alone cannot ensure enough funds for a user's trade or loan. Through ERL, batt intends to supply capital that external markets can use for trading and lending.

| | ERI | ERL |
| - | - | - |
| What it provides | Rewards for participation | Funds deployed in a market |
| What it affects | Participants' income and costs | Available market liquidity |
| Terms to check | Recipients, duration, funding source | Destination, allocation limits, withdrawal terms |

A market can receive ERI incentives without holding funds allocated by batt. Receiving funds through ERL does not automatically qualify it for ERI rewards either.

## Risks of external allocations

Funds deployed in an external market can earn returns or incur losses. The amount and timing of withdrawals depend on that market's terms. ERL does not guarantee a return.

| Check | Questions to answer |
| - | - |
| Use of funds | Which trades or loans will the funds support? |
| Allocation limits | Which assets will be allocated, how much, and who can change the allocation? |
| Withdrawals | How can funds be recovered in normal conditions and during market stress? |
| Losses | Who bears losses from external contracts, price changes, or liquidity shortages? |

Before depositing, consider both the expected return and whether funds can be withdrawn from those markets when needed.

> [card] [Initial sKRW\* allocation](https://docs.batt.farm/en/skrw-how-it-works.md)
>
> Read about batt's plan to allocate initial deposits to the SP.

> [card] [Ecosystem projects](https://docs.batt.farm/en/ecosystem-projects.md)
>
> Find official links and integration status for listed projects.


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