# Mint liquidity

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**If you have not done so already, please read the product paper and lending information. Please be aware that there is a** [**risk of borrowers defaulting**](https://docs.rulerprotocol.com/#what-happens-if-the-borrower-does-not-pay-on-time)**!**
{% endhint %}

**You will need DAI/USDC/USDT or rcToken to provide liquidity for Ruler Pairs.**

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Ruler currently officially encourages anyone to provide liquidity in the **rcToken pool**.

* Providing liquidity allows for better borrowing rates and allows the protocol to function smoothly.&#x20;
* Providing liquidity allows you to collect trading fees and farm for RULER.&#x20;
* If you lent and provide rcToken as liquidity, you will be earning interest, farming rewards and trading fees!&#x20;
* If you just deposited for rcToken you will only earn trading fees and farming rewards (if you farm).&#x20;
