# Overview

Zoo Finance is a native structured asset protocol on Berachain, providing innovative and capital-efficient liquidity solutions. By depositing assets into Zoo’s vaults, users can access a variety of financial instruments tailored to different needs. There are two types of vaults: the Liquidity Vault (L-Vault) and the Bribe Vault (B-Vault), each serving distinct purposes.

When users deposit assets into the **L-Vault**, they receive stablecoins and Margin Tokens (MT). The stablecoin is a rebase mechanism token that accrues interest simply by holding it, offering a stable store of value with added growth potential. The Margin Token, on the other hand, provides leveraged exposure to the underlying assets, enabling greater gains during a bull market.

Depositing assets into the **B-Vault** obtains Principal Tokens (PT) and Yield Tokens (YT). The Principal Token represents ownership of the underlying assets, granting holders automatic returns denominated in the base currency. The Yield Token reflects all real-time yields generated by the underlying assets, providing the opportunity for holders to earn additional Bribe rewards.


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