# Interest Rates ### Interest Rates Interest rates float and continuously compound. An asset's interest rate is a function of utilization. Interest rates increases along with utilization until the curve shifts again when the utilization hits an optimal point. Once hitting the optimal utilization threshold, the interest rates increase at a much higher speed to dis-incentivize borrowing to get back to optimal utilization. Since interest rates float with changing utilization, there are no guarantees that a loans interest rate will remain similar to its value at loan origination. Superposition attempts to strike a balance between predictable interest rates based on a range of acceptable utilization ratios, but may be incentivized to raise rates if high utilization creates a situation where lenders cannot withdraw their deposits. --- # 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.moveposition.xyz/interest-rates.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.