LEND works by establishing Lending pools out of deposited crypto assets. These Lending pools are the collective tokens of all users who wish to deposit assets and are used to facilitate borrow requests from other LEND users. The Lending pools are algorithmically derived and have a floating variable, but competitive interest rate model, based on the current supply and demand of each respective asset. If supply outweighs demand, it will have lower rates for borrowers and lenders.
