# Supply Vaults

Supply Vaults take the flexibility introduced by Isolated Pools to the next level, enabling curators to lend one asset across multiple pools to maximize yield along their specific risk profile. To create a vault, a single loan asset will be deposited, which can be allocated to multiple isolated pools to earn yield.

## Ionic Wars

The institution of supply vaults and isolated pools into Ionic will add another layer of competition amongst protocols bribing $veION holders for token emissions.

Supply vault curators will allocate capital as lending supply on different isolated lending pools to maximize their yield opportunities based on their collateral assets. With this in mind, creators of various lending pools, whether they be protocols, DAOs, DeFi professionals, or individuals, will want to direct $ION emissions to their lending pools to attract supply and increase the pool's lending capacity.&#x20;

An example of this one can imagine is an LST protocol looking to attract more ETH TVL may incentivize their own LST/ETH pool. Increasing the yield for lenders into the pool will also increase the ability for users to borrow ETH, mint the LST and loop back through the pool to maximize yield.

Given the competitive landscape of LSTs and LRTs, the power of $veION and $ION emissions will create a powerful flywheel. The ultimate result of which is a hyper-efficient money market.


---

# 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://doc.ionic.money/ionic-documentation/ionic-protocol/supply-vaults.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.
