> For the complete documentation index, see [llms.txt](https://docs.liquidloans.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.liquidloans.io/base/loan-staking.md).

# LOAN Staking

### How does staking work in Liquid Loans?

To start staking, all you need to do is deposit your LOAN token to the Liquid Loans staking contract. Once done you will start earning a pro rata share of the borrowing and redemption fees in USDL and ETH.

### How much will my staked LOAN earn?

Your LOAN stake will earn a share of the fees equal to your share of the total LOAN staked, at the instant the fee occurred.

### Is there a lock-up period?

No, you can withdraw your staked funds at any time.

### Can I stake USDL?

You can only stake LOAN tokens. USDL can be deposited into the [Stability Pool](/base/stability-pool-and-liquidations.md#what-is-the-stability-pool) for LOAN rewards.

### Can I stake ETH?

You can only stake LOAN tokens. ETH is used as collateral to secure your USDL loan.

### Are staked LOAN tokens used to backstop the system (like Maker) or for governance?

No, staked LOAN tokens are not used to backstop the Liquid Loans system, and are not used for governance as there is no Liquid Loans governance.


---

# Agent Instructions
This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com.

## Querying This Documentation
If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter:

```
GET https://docs.liquidloans.io/base/loan-staking.md?ask=<question>&goal=<endgoal>
```

`ask` is the immediate question: it should be specific, self-contained, and written in natural language.
`goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal.

The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.
