> For the complete documentation index, see [llms.txt](https://docs.swaps.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.swaps.io/flex-liquidity-pools/architecture/operations.md).

# Operations

The following operations provide the pool protocol functioning:

* **Liquidity Providers** (LPs) deposit their asset ([ERC-20](https://ethereum.org/en/developers/docs/standards/tokens/erc-20) token) to pools of interest. In return they receive shares - as per [ERC-4626](https://ethereum.org/en/developers/docs/standards/tokens/erc-4626) standard. Shares increase in asset value as protocol operates.
* 3rd-party **protocol adapters** (PAs) are implemented and verified to be secure for pool system by **Decentralized Autonomous Organization** (DAO). The verified adapters are added to pool whitelist, which enables them to use the liquidity.
* **Solvers** select 3rd-party protocol adapters from the whitelist according to their solving needs. Taking liquidity comes with *protocol fee*, which is distributed among LPs proportional to their shares.
* Pool ensures that liquidity will be (or already) returned back by **solvers** to enclave (same-asset pool on any supported chain). This is one of the security conditions for adapter to be whitelisted.
* Pool keeps track of crosschain liquidity balance. Changing the balance in negative way comes with extra *rebalance fee* for **solvers**, meanwhile fixing the imbalances is rewarded from the accumulated rebalance fee - which attracts a special kind of **rebalance solvers**.
* **Liquidity Providers** can withdraw their original asset in exchange for the previously issued shares