Deposit Loop (Long Loop): Features and Restrictions

Deposit loop is also labeled Long Loop in the UI. It is the flow where the system increases long exposure by depositing the long-side asset and using protocol credit on the short side.

This mode is useful when a direct wallet-funded swap is not available or when a leveraged long structure is desired.

What it does

1. You choose a long and short asset pair.
2. Set action mode to Deposit Loop.
3. The long amount is treated as the deposit input.
4. The short amount is treated as the borrowed side.
5. The planner computes safe maximums for deposit and borrow and ensures the pair can stay within portfolio health constraints.

Key restrictions

• The mode is only available when deposits already exist in your portfolio context.
• Both long/short assets must resolve to valid market/wallet metadata.
• The short side must have valid borrow capacity for the selected pair and risk settings.
• The long side is bounded by available deposit capability for that asset.
• If route metadata or risk pair data is missing, execution will not route as a loop.
• Health checks, borrow limits, and liquidation protections always apply.

When it is unavailable

• Unsupported pair or missing risk configuration.
• Borrow capacity or deposit capacity resolves to zero/invalid.
• Portfolio is currently too constrained for safe borrowing under pairwise risk constraints.
• Selected input exceeds the computed safe maxima.

When to use it

Use Deposit Loop when your intent is to grow long exposure through a deposit-and-borrow structure instead of a pure swap.