> ## 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.

# How it works

> Initial Stability Pool allocation and plans for sKRW* expansion.

[한국어로 읽기](https://docs.batt.farm/skrw-how-it-works.md)

This section explains our initial plan for sKRW\* deposits and how we may use them in other markets later.

## Where deposits go

batt plans to allocate initial sKRW\* deposits exclusively to the Stability Pool (SP).

Deposit KRW\*

sKRW\* funds

Stability Pool

sKRW\* returns depend on the income and losses in the SP. [Stability Pool](https://docs.batt.farm/en/stability-pool.md) explains how the pool receives interest and how liquidations change its balances.

## Conversion and withdrawals

> [!NOTE]
>
> These docs do not yet specify the KRW\*/sKRW\* conversion rate, how gains and losses affect depositor balances, the assets returned on withdrawal, or withdrawal delays and restrictions.

The way the SP settles debt does not determine how you can withdraw from sKRW\*. Do not assume a 1:1 conversion rate or immediate withdrawals from the SP mechanics alone. Check sKRW\*'s conversion and withdrawal terms before depositing.

## Planned expansion

After the initial SP allocation, batt plans to allocate funds to other ecosystem markets through [ERL](https://docs.batt.farm/en/ecosystem-routed-liquidity.md).

Using those markets would expose sKRW\* deposits to their contract risks, liquidity constraints, and withdrawal conditions.


This documentation is built and hosted on [Mintlify](https://mintlify.com), a developer documentation platform.