# Detailed policy of Single Deposit

### **Deposit, withdrawal policy** 

* Users can freely deposit tokens and withdraw distributed interest earnings at any point. In addition to token interest earnings, KSP reward is additionally distributed in return for users’ contribution to provision of liquidity by depositing their assets, and the total rate of return on each single pool is the summation of deposit and KSP distribution yield. 
* The deposit return (%) and KSP distribution return (%) of each single pool are real-time variation values, which depend on the total deposit size of the pool, the deposit/utilization `s`tatus, and the daily KSP distribution volume. 
* Upon initial deposit, the transaction approval process must be completed for each token, and after that, deposit service gets available once the process is completed. 
* Plus depositors will pay 80% of the accumulated interest earnings to a single pool depositor, 20% will be set aside as reserves, and will later be used as a reserve fund for KSP Buyback & Burn program. 
* Interest earnings based on real-time returns are accumulated on the assets deposited (principal), and withdrawals can be made, including interest earnings accumulated so far. 
* KSP rewards which are distributed up to the point until the change of balance (additional deposit/withdrawal) will be automatically received in my wallet. 
* The utilization cost (%) of each single pool depends on the pool activation rate, which indicates how many plus depositors are using assets of single depositors at the moment.

![](/files/F58ZFftcL1u9Ok3kfGIo)

As can be seen from the deposit rate of return graph above, the higher the deposit rate of return (the higher the activation rate) as more assets are utilized in a single pool. The deposit yield for each pool activation section is as follows. 

\*Please refer to [**Borrowing rate Model**](https://app.gitbook.com/o/-LhJjEzoCtXdKkYFc8bs/s/-MJygKa-Pq2tO-w7HGny-887967055/~/changes/MccBmIGiTSRWYnsYaz3w/product/interest-rate#borrowingratemodel) of each token's deposit & borrow APR by pool activation rate

![](/files/emTB1aCKyi0eXVEcmAwe)

On the other hand, the more assets are utilized in a single pool, the steeper the utilization costs that plus depositors have to pay. As such, the mechanism of interest rate formation according to the interaction between asset utilization demand (plus depositor) and a single depositor (single depositor) induces more deposits by providing higher returns to depositors as a single pool asset is actively utilized. However, if it is overly active (more than 90%), a high cost is set to naturally induce a return of the assets in use.

### **Terminology**

![](/files/9rkgR9aUyOKKhms06eBE)


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