# LLP Strategies LLP funds are held within a single account, which acts as the counterparty to all LLP trading and liquidations. For additional details on Liquidations and ADL, please refer to the [relevant section](https://docs.lighter.xyz/~/revisions/oWY7zM9pmF1WoGayT19g/trading/liquidations-and-llp-insurance-fund) of the documentation. Under the existing structure, **Auto-Deleverage (ADL) events are fully backstopped by LLP,** meaning that liquidity providers absorb the associated risk. LLP Strategies allow collateral to be allocated across distinct strategy buckets (that now includes RWAs, too). Each market is assigned to a specific strategy. From a system perspective, each strategy behaves similarly to a segregated collateral shard (comparable to a sub-account for risk purposes). However, strategies are not separate accounts — all positions remain under the LLP — but risk and losses are isolated at the strategy level. For example, LLP may allocate: * One strategy for Crypto Perpetuals * One strategy for FX * One strategy for Equities / RWAs The exact market-to-strategy mappings will be communicated separately. Under this framework, if a given strategy has $1M in allocated collateral, its maximum loss exposure is limited to that $1M. If the allocated collateral is fully depleted, the strategy would be subject to ADL, while collateral allocated to other strategies remains unaffected. ### RWAs & LLP Strategies The Real World Assets (RWA) perpetual markets are now subject to standard liquidation fees, consistent with all other markets, as LLP serves as the primary protocol liquidity provider. --- # 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.lighter.xyz/trading/liquidations-and-llp-insurance-fund/llp-strategies.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.