# Layered Market Structure

Untitled Bank's **Layered Market Structure** revolutionizes modular lending by solving the critical challenge of liquidity fragmentation. In traditional modular lending protocols, the coexistence of multiple markets with identical collateral-loan pairs leads to scattered liquidity and market inefficiencies. Our innovative approach combines the flexibility of modular lending with the efficiency of monolithic systems through our **Core Market** feature.

#### **Core Market Solution** 

Our **Core Market** feature aggregates markets with identical collateral-loan asset pairs, creating a unified lending experience:

<figure><img src="/files/4pWLKSJC6qa2iYLwKg3b" alt=""><figcaption><p>Collateralizing and Borrowing experience for different user types</p></figcaption></figure>

* **Smart Market Whitelisting**: Through DAO governance, markets are carefully vetted and whitelisted to join the Core Market ecosystem.
* **Optimal Order Distribution**: The platform intelligently routes borrow orders across whitelisted markets, maximizing efficiency and stabilizing rates.
* **Unified Liquidity**: Users access a single, aggregated liquidity pool for each asset pair, simplifying the lending experience while maintaining the benefits of modular design.

#### **Key Advantages**&#x20;

The Layered Market Structure delivers significant benefits to all participants:

* **Seamless User Experience**: Access to aggregated liquidity through a single interface eliminates the complexity of comparing multiple markets.
* **Maximum Capital Efficiency**: Unified liquidity pools ensure optimal utilization rates and stable interest rates across the platform.
* **Community-Driven Growth**: DAO governance of market whitelisting promotes quality control and active community participation in platform development.

Through this innovative architecture, Untitled Bank creates a lending platform that combines the customization of modular design with the efficiency of unified liquidity pools, setting a new standard for DeFi lending.


---

# 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.untitledbank.co/core-concept/markets/layered-market-structure.md?ask=<question>
```

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.