# handle Liquidity Pool (hLP)

the handle liquidity pool **(hLP)** comprises a basket of currency\* assets, that 

(i)   provide the liquidity for protocol users to borrow for leveraged trades, \
(ii)  acts as counterparty to all trades, absorbs any trader wins or losses, and \
(iii) provides liquidity for any cross asset spot FX swaps.\
\
liquidity capital providers to the **hLP** can deposit any **approved asset** into the pool and will receive **hLP** which is automatically staked in order to earn fees. 

fees to deposit into the **hLP** will vary dependent on the balance of assets in the index. the current fees can be found on the convert page when converting to hLP.\
\
**hLP** holders earn a share of trade and funding related fees, swap fees, and returns from any trader losses and liquidations

additionally, based on a users [**veFOREX** ](/high-priority/governance-staking-veforex.md)balance, they may also receive boosted pool rewards and APYs 

all fees and rewards related to **hLP** are distributed in the protocol token FOREX

#### current target weights

<figure><img src="/files/U4GjzvsV4WD2OWR07Ynm" alt=""><figcaption><p>hLP target weights</p></figcaption></figure>

<table><thead><tr><th width="322">approved asset</th><th>target weight</th></tr></thead><tbody><tr><td>ETH</td><td>5.0%</td></tr><tr><td><span data-gb-custom-inline data-tag="emoji" data-code="1f1fa-1f1f8">🇺🇸</span> fxUSD</td><td>47.5%</td></tr><tr><td><span data-gb-custom-inline data-tag="emoji" data-code="1f1ea-1f1fa">🇪🇺</span> fxEUR</td><td>27.0%</td></tr><tr><td><span data-gb-custom-inline data-tag="emoji" data-code="1f1ef-1f1f5">🇯🇵</span> fxJPY</td><td>2.0%</td></tr><tr><td><span data-gb-custom-inline data-tag="emoji" data-code="1f1ec-1f1e7">🇬🇧</span> fxGBP </td><td>6.0%</td></tr><tr><td><span data-gb-custom-inline data-tag="emoji" data-code="1f1e8-1f1e6">🇨🇦</span> fxCAD</td><td>4.0%</td></tr><tr><td><span data-gb-custom-inline data-tag="emoji" data-code="1f1e6-1f1fa">🇦🇺</span> fxAUD</td><td>2.0%</td></tr><tr><td><span data-gb-custom-inline data-tag="emoji" data-code="1f1e8-1f1f3">🇨🇳</span> fxCNY</td><td>2.0%</td></tr><tr><td><span data-gb-custom-inline data-tag="emoji" data-code="1f1e8-1f1ed">🇨🇭</span> fxCHF</td><td>1.5%</td></tr><tr><td><span data-gb-custom-inline data-tag="emoji" data-code="1f1f8-1f1ec">🇸🇬</span> fxSGD</td><td>1.0%</td></tr><tr><td><span data-gb-custom-inline data-tag="emoji" data-code="1f1f0-1f1f7">🇰🇷</span> fxKRW</td><td>1.0%</td></tr><tr><td><span data-gb-custom-inline data-tag="emoji" data-code="1f1f5-1f1ed">🇵🇭</span> fxPHP</td><td>1.0%</td></tr></tbody></table>

\
\*5% of the basket is currently ETH, which facilitates a whole range of range swaps and protocol related route optimisations.

{% hint style="info" %}
holders of hLP own a potentially high yielding, global currency near neutral FX exposure asset. (not withstanding pool specific risks)\
&#x20;

pool composition aims to create an asset such that a user is neither LONG nor SHORT USD,  instead owning exposure to a basket of global currencies - approximating 50% USD and 50% the **US Dollar INDEX (**[**DXY**](https://en.wikipedia.org/wiki/U.S._Dollar_Index)**)**
{% endhint %}

#### how to view current & target composition and utilisation

1. go to [app.handle.fi/convert](https://app.handle.fi/convert)
2. select hLP as 'from' or 'to' token
3. select "hLP breakdown"

<figure><img src="/files/Y7DvzpsSAyGAZkPyBDdz" alt=""><figcaption></figcaption></figure>

to find out how to add liquidity to hLP [**click here**](broken://pages/5rmHRZyN6bXN3KPWjaSk)


---

# Agent Instructions: 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:

```
GET https://docs.handle.fi/the-platform/pool/handle-liquidity-pool-hlp.md?ask=<question>
```

The question should be specific, self-contained, and written in natural language.
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.