> For the complete documentation index, see [llms.txt](https://docs.primefi.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.primefi.xyz/rewards-and-tokens/primefi-reward-system/advanced-user-rewards/lp-provider-rewards.md).

# LP Provider Rewards

There is a possibility to go one step further, not only to earn fees generated from all active loans as a lender.

This situation arises when a lender locks at least 5% of their lend position in a liquidity pool, thus generating a concentrated liquidity token or pLP.

This token must undergo a locked staking process with various possible time frames. Locking the pLP generates rewards for the user in the form of PRFI emissions.

There are two ways to form the pLP position:

1. Borrow against lend deposit
2. Extra capital

Lock-up periods range from 30 to 360 days. Depending on the lock-up period, the interest on fee benefits will have a multiplier. Visit the following link for more information:

{% embed url="<https://app.gitbook.com/o/j7Qko0hTNGYSZrhxYdJe/s/o4SISzko0XTUUE5cJyPX/~/changes/56/prime-liquidity-provider-plp/maximum-apr-by-asset>" fullWidth="false" %}

### LP Actors

These two ways of forming a position create two types of users:

* **Primy LP Provider**\
  Lender + Borrower + LP Provider\
  Refers to users who, after making a deposit as lenders, want to become LP Providers and borrow the necessary assets from PrimeFi to create their LP position. These users will receive 100% of the 85% borrowing fees, as they act as both lenders (30%) and borrowers (70%). At the same time, they will be earning PRFI emissions.

<figure><img src="/files/CIUNNAF6JHWqKORJctW0" alt="" width="563"><figcaption></figcaption></figure>

* **Pure LP Provider**\
  Lender + LP Provider (adds 5% from their wallet without borrowing)\
  These are users who, after depositing in the protocol, add an additional 5% from their own wallet, allowing them to receive PRFI emissions without needing to borrow from the protocol.

<figure><img src="/files/f9gGsPg0yB1WU2tQtW30" alt="" width="563"><figcaption></figcaption></figure>


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