Use your Nest position as collateral to borrow, repay debt, and manage your loan directly in Nest. Borrowing and repayment are executed through Morpho contracts.

When you open a borrow position, you deposit eligible collateral and borrow up to the market's limit. Each market is defined by a loan asset, collateral asset, oracle, interest rate model (IRM), and liquidation loan-to-value (LLTV).

Yes. Your Nest position can continue earning while it is used as collateral, but you also pay borrow interest on the amount borrowed. Your net result is generally the yield on your position minus your borrowing cost, before any additional rewards.

Borrow rates are dynamic and are driven primarily by utilization - the ratio of total borrowed assets to total supplied assets in a market. The IRM adjusts rates based on that utilization.

Your transaction can change market utilization, which can change the borrow rate. This is especially noticeable in smaller or more highly utilized markets.

Liquidation risk is the risk of your collateral being liquidated if your debt becomes too large relative to your collateral value. A position becomes eligible for liquidation when its LTV reaches or exceeds the market's LLTV threshold.

Available borrowing and withdrawals depend on both your position health and available market liquidity. Even if your collateral supports more borrowing, execution may still be limited by the liquidity available in that market.

The most important metrics are borrow rate, utilization, total borrowed, total supplied, available liquidity, and your LTV / position health. Borrow rate shows the current cost of debt, while utilization helps explain why that cost may rise or fall as borrowing demand changes. Total borrowed, total supplied, and available liquidity help you understand market depth and whether there is enough capital to support borrowing or withdrawals. Your LTV / position health shows how close your position is to liquidation, making it the key metric for managing risk.