> For the complete documentation index, see [llms.txt](https://strobe-protocol.gitbook.io/strobe-protocol/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://strobe-protocol.gitbook.io/strobe-protocol/money-market/interest-rate-strategies.md).

# Interest rate strategies

An interest rate strategy determines the lending and borrowing interest rates for a given utilization ratio.  The utilization ratio is derived from the total debt and total supply of specific tokens.

Currently, Strobe Protocol has one interest rate strategy, which is unique for each token based on their supply-demand dynamics. However, moving forward, there may include more interest rate strategies catering for a specific tokens' risk profile.