> ## Documentation Index
> Fetch the complete documentation index at: https://docs.agi3.ae/llms.txt
> Use this file to discover all available pages before exploring further.

# Liquidity without selling

> Raising deployable stablecoins against holdings you keep: the mechanics, the running cost, and the failure pattern of a financing position.

Like every strategy in this section, this is a pattern you construct and manage yourself from the platform's ordinary actions; the [shared framework](/strategies/overview) applies throughout.

## What it is

Post holdings you intend to keep as collateral and draw stablecoins against them. The exposure stays on your book; the borrow funds whatever needed the cash. This is the simplest pattern in the section, and the base case for the other three.

## Mechanics on AGI3

* Open a borrow position in a market pairing your holding with a stablecoin; the steps are in [Borrow against collateral](/how-to/borrow-against-collateral).
* The drawn stablecoins arrive in the portfolio's wallet, yours to deploy on the platform or off it.
* One position per purpose reads better than one large position. Positions do not [cross-collateralize](/borrowing/borrowing-basics), so a financing drawn for one mandate cannot be pulled down by another's.
* The per-class table in [Risk parameters](/risk/risk-parameters) sets the ceiling: 80% max borrowable LTV against blue-chip crypto, lower against tokenized gold, index tokens, and tokenized stocks.

## When it fits

* The holding is one you would not sell at current prices, and the cash need is real, bounded, and fundable at a floating rate.
* The use of proceeds returns more than the borrow costs, or funds an obligation whose alternative is worse than the interest.
* The horizon is one you can hold through rate rises: the borrow rate floats for the life of the draw.

## What it costs

* Interest accrues continuously on the drawn amount at the market's floating borrow rate. There is no term and no fixed rate.
* The collateral is encumbered: withdrawable only down to what the remaining debt requires.
* Network fees at entry (two transactions where a first-time approval is needed) and one per action after that.

## How it fails

* The defining risk is the financing failure pattern: the borrowed cash is deployed elsewhere at exactly the moment the collateral falls, so the top-up is needed when the liquidity is gone. This is why the top-up plan is decided at entry rather than at the margin call.
* Rates escalate: utilization rises, the borrow rate follows, and a cheap financing becomes an expensive one with no price movement at all.
* Interest drifts: debt grows continuously, so LTV rises even in a flat market, and a financing left unattended walks toward its [liquidation threshold](/risk/liquidation).
* Parameters get revised: a lowered liquidation threshold applies to positions already open.

## Managing it

* Open in the Healthy band (health factor above 2.00) and set the review line at the Stable band. The [margin call warning](/risk/liquidation) is the backstop, not the plan.
* Hold the top-up asset where it can move within hours, in a wallet already bound to the portfolio.
* Repay opportunistically: partial repayments restore headroom immediately, cut the running cost, and carry no penalty.
* Recheck the borrow rate on the cadence set out in [Monitor positions and alerts](/how-to/monitor-positions); this position's cost is a market variable, not a contract term.