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Supplying Collateral

To borrow from an isolated market you must first supply that market's collateral asset. Collateral you supply backs your loan and is not lent out to other users, so it does not earn interest — its job is to secure your borrow.

Tutorial

  1. Open the market you want to use from the Isolated Markets list, and connect your wallet.

  2. On the Details tab, find the My Wallet panel and click Supply next to Available to supply. (You can also open the My position tab and click Supply in the collateral row.)

Click Supply in the My Wallet panel

  1. The Supply dialog opens with the market's collateral asset preselected.

    • Amount — enter how much you want to supply. The MAX button fills in your full wallet balance. You cannot supply more than you hold.
    • Asset — for markets whose collateral is WETH, you can choose to supply native ETH instead and the app will wrap it to WETH for you.

Supply dialog

  1. The Transaction overview shows your Supplied balance updating, and — if you already have a borrow — the resulting Health factor.

  2. The Actions section lists the transactions to sign:

    • Supplying the collateral token: Approve → Supply collateral.
    • Supplying native ETH: Wrap ETH → Approve → Supply collateral.

    Sign each action with your connected wallet.

  3. Once the actions complete, your collateral is supplied to the market and your position updates. You can supply more at any time by repeating this process — for example, to raise the Health Factor of an open borrow.

Confirmation: collateral supplied

FAQ

Does supplied collateral earn interest?

No. In an isolated market, collateral secures your loan but is not lent out, so it does not earn a supply yield. To borrow, see Borrowing Assets.

Can I use more than one collateral asset?

Each isolated market accepts a single collateral asset, defined when the market was created. To borrow against a different asset, use a different market (or supply multiple collateral types in SparkLend).

How do I get my collateral back?

Withdraw it from the My position tab once your Health Factor allows it. See Withdrawing Collateral.