# How PembRock Finance Works ![](/files/8IX1KPJqN3ndFTCGVlcc) ### How does PembRock work? PembRock couples lenders and yield farmers who are rewarded for providing liquidity within the NEAR ecosystem. We are supporting all major farms and assets on [Ref.Finance](https://www.ref.finance/).‌ #### Lender The lender deposits their NEAR and earns interest from the borrowing fees paid by yield farmers. #### Leveraged Farmer The yield farmer opens a leveraged yield farming position on a trading pair, borrowing NEAR from the vault and joining the farming pool with leverage. The yield farmer gets higher returns due to the larger stake, but pays a 10% premium for the privilege of using borrowed funds. **Staker** The staker locks their PEM and earns portion of all profits generated by the protocol (the bigger the amount and the longer the period, the larger the reward). The staker also gets to vote on the size of rewards to be distributed among lenders and farmers every month. #### Liquidator bot The liquidator bot monitors all yield farming positions, liquidating those that become too risky. If a leveraged yield farming position does get liquidated, 5% of the position’s fee goes to the protocol, and is then distributed among those who have staked the PEM token. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.pembrock.finance/about-pembrock/how-pembrock-finance-works.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.