diff --git a/lending-app/README.md b/lending-app/README.md
new file mode 100644
index 0000000..bc3295f
--- /dev/null
+++ b/lending-app/README.md
@@ -0,0 +1,76 @@
+# Lending Protocol on CCF Framework
+
+## Overview
+This is a decentralized lending protocol built on the Microsoft CCF framework. The protocol enables:
+- **Collateralized Lending**: Users can deposit BTC or ETH as collateral and borrow USDT.
+- **Liquidity Pool Management**: Users can add or remove liquidity from BTC and ETH pools.
+- **Interest Distribution**: Liquidity providers earn DEFI tokens as interest rewards.
+
+---
+
+## Features
+- **Collateral Management**:
+  - Deposit BTC or ETH as collateral to borrow USDT.
+  - Collateral factor applied for safe borrowing limits.
+  
+- **Liquidity Pools**:
+  - BTC and ETH pools for providing liquidity.
+  - Interest distributed to liquidity providers in DEFI tokens.
+
+- **Wallet Operations**:
+  - Deposit and withdraw tokens.
+  - Query wallet balances.
+
+---
+
+## API Endpoints
+### Wallet Endpoints
+- **Deposit Token**: `/wallet/deposit`
+- **Withdraw Token**: `/wallet/withdraw`
+- **Get Wallet Balance**: `/wallet/balance`
+
+### Lending Endpoints
+- **Add Collateral**: `/lending/collateral/add`
+- **Borrow Tokens**: `/lending/borrow`
+- **Remove Liquidity**: `/lending/liquidity/remove`
+
+---
+
+## Configuration
+- **Collateral Factor**: Default `1.5` (borrow limit = collateral / collateralFactor).
+- **Base Interest Rate**: Default `2%` per period.
+
+---
+
+## Example Usage
+### Add Collateral
+**Request**:
+```json
+POST /lending/collateral/add
+{
+  "userId": "user1",
+  "symbol": "BTC",
+  "amount": 2
+}
+
+{
+  "statusCode": 200,
+  "body": "Added 2 of token BTC as collateral for user1."
+}
+```
+### Borrow Against Collateral
+**Request**:
+```json
+POST /lending/borrow
+{
+  "userId": "user1",
+  "borrowAmount": 1000,
+  "baseTokenSymbol": "USDT"
+}
+
+{
+  "statusCode": 200,
+  "body": "Borrowed 1000 of token USDT against collateral."
+}
+
+```
\ No newline at end of file
diff --git a/lending-app/package-lock.json b/lending-app/package-lock.json
new file mode 100644
index 0000000..358e17a
--- /dev/null
+++ b/lending-app/package-lock.json
@@ -0,0 +1,55 @@
+{
+  "name": "lending-app",
+  "lockfileVersion": 3,
+  "requires": true,
+  "packages": {
+    "": {
+      "dependencies": {
+        "@microsoft/ccf-app": "^6.0.0-dev11",
+        "typescript": "^5.7.3"
+      },
+      "devDependencies": {
+        "@types/node": "^22.10.5"
+      }
+    },
+    "node_modules/@microsoft/ccf-app": {
+      "version": "6.0.0-dev11",
+      "resolved": "https://registry.npmjs.org/@microsoft/ccf-app/-/ccf-app-6.0.0-dev11.tgz",
+      "integrity": "sha512-eT8PVXDiG2WntMLDtq/7rgphykhTTVTIWQ6iXw+oTmviCdhsFdPIfRsjdDABd+lhF22KZ5ujUYsD4Hzp74o3lQ==",
+      "license": "Apache-2.0",
+      "bin": {
+        "ccf-build-bundle": "scripts/build_bundle.js"
+      }
+    },
+    "node_modules/@types/node": {
+      "version": "22.10.5",
+      "resolved": "https://registry.npmjs.org/@types/node/-/node-22.10.5.tgz",
+      "integrity": "sha512-F8Q+SeGimwOo86fiovQh8qiXfFEh2/ocYv7tU5pJ3EXMSSxk1Joj5wefpFK2fHTf/N6HKGSxIDBT9f3gCxXPkQ==",
+      "dev": true,
+      "license": "MIT",
+      "dependencies": {
+        "undici-types": "~6.20.0"
+      }
+    },
+    "node_modules/typescript": {
+      "version": "5.7.3",
+      "resolved": "https://registry.npmjs.org/typescript/-/typescript-5.7.3.tgz",
+      "integrity": "sha512-84MVSjMEHP+FQRPy3pX9sTVV/INIex71s9TL2Gm5FG/WG1SqXeKyZ0k7/blY/4FdOzI12CBy1vGc4og/eus0fw==",
+      "license": "Apache-2.0",
+      "bin": {
+        "tsc": "bin/tsc",
+        "tsserver": "bin/tsserver"
+      },
+      "engines": {
+        "node": ">=14.17"
+      }
+    },
+    "node_modules/undici-types": {
+      "version": "6.20.0",
+      "resolved": "https://registry.npmjs.org/undici-types/-/undici-types-6.20.0.tgz",
+      "integrity": "sha512-Ny6QZ2Nju20vw1SRHe3d9jVu6gJ+4e3+MMpqu7pqE5HT6WsTSlce++GQmK5UXS8mzV8DSYHrQH+Xrf2jVcuKNg==",
+      "dev": true,
+      "license": "MIT"
+    }
+  }
+}
diff --git a/lending-app/package.json b/lending-app/package.json
new file mode 100644
index 0000000..4702ab0
--- /dev/null
+++ b/lending-app/package.json
@@ -0,0 +1,9 @@
+{
+  "dependencies": {
+    "@microsoft/ccf-app": "^6.0.0-dev11",
+    "typescript": "^5.7.3"
+  },
+  "devDependencies": {
+    "@types/node": "^22.10.5"
+  }
+}
diff --git a/lending-app/src/endpoints/lending.ts b/lending-app/src/endpoints/lending.ts
new file mode 100644
index 0000000..04d73f2
--- /dev/null
+++ b/lending-app/src/endpoints/lending.ts
@@ -0,0 +1,154 @@
+import * as ccfapp from "@microsoft/ccf-app";
+import { addCollateral, borrow } from "../modules/lending";
+import { handleError } from "../utils/errorHandler";
+
+
+/**
+ * Handles depositing tokens into the lending protocol for collateral.
+ *
+ * This endpoint allows users to directly add tokens to their collateral,
+ * deducting the specified amount from their wallet balance. The collateral
+ * is used to increase the user's borrowing capacity.
+ *
+ * Input:
+ * - `userId` (string): The unique identifier for the user making the deposit.
+ * - `symbol` (string): The token symbol (e.g., "DEFI").
+ * - `amount` (number): The amount of the token to deposit as collateral.
+ *
+ * Output:
+ * - Success: Returns a success message confirming the collateral addition.
+ * - Failure: Returns an error message with the appropriate HTTP status code.
+ *
+ * Workflow:
+ * 1. Parse and validate the input parameters (`userId`, `symbol`, `amount`).
+ * 2. Check that the user exists and has sufficient balance for the token.
+ * 3. Deduct the specified `amount` of `symbol` tokens from the user's wallet.
+ * 4. Add the deducted tokens to the user's collateral in the lending protocol.
+ * 5. Return a success message confirming the operation.
+ *
+ * Example Request:
+ * ```json
+ * {
+ *   "userId": "user1",
+ *   "symbol": "DEFI",
+ *   "amount": 500
+ * }
+ * ```
+ *
+ * Example Response (Success):
+ * ```json
+ * {
+ *   "statusCode": 200,
+ *   "body": "Added 500 of token DEFI as collateral for user1."
+ * }
+ * ```
+ *
+ * Example Response (Error: Invalid Input):
+ * ```json
+ * {
+ *   "statusCode": 400,
+ *   "body": "Invalid input parameters"
+ * }
+ * ```
+ *
+ * Example Response (Error: Insufficient Balance):
+ * ```json
+ * {
+ *   "statusCode": 400,
+ *   "body": "Insufficient token balance for collateral addition."
+ * }
+ * ```
+ */
+export function addCollateralEndpoint(request: ccfapp.Request): ccfapp.Response {
+    let body;
+    try {
+        body = request.body.json();
+    } catch {
+        return { statusCode: 400, body: "Invalid request body" };
+    }
+
+    const { userId, symbol, amount } = body;
+
+    // Validate input parameters
+    if (!userId || !symbol || amount <= 0) {
+        return { statusCode: 400, body: "Invalid input parameters" };
+    }
+
+    try {
+        // Add tokens directly to collateral
+        const collateralResult = addCollateral(userId, symbol, amount);
+
+        return { statusCode: 200, body: collateralResult };
+    } catch (error) {
+        return handleError(error);
+    }
+}
+
+/**
+ * Handles borrowing tokens against collateral in the lending protocol.
+ *
+ * This endpoint validates the user's collateral and borrowing capacity
+ * before crediting the borrowed tokens to their wallet. The borrow
+ * operation deducts the borrowed amount from the protocol's liquidity
+ * pool and increases the user's debt balance.
+ *
+ * Input:
+ * - `userId` (string): The unique identifier of the user making the request.
+ * - `borrowAmount` (number): The amount of the token to borrow.
+ * - `baseTokenSymbol` (string): The symbol of the token to borrow (e.g., "BTC").
+ *
+ * Output:
+ * - Success: Returns a success message confirming the borrowed amount.
+ * - Failure: Returns an error message with the appropriate HTTP status code.
+ *
+ * Workflow:
+ * 1. Validates input parameters (`userId`, `borrowAmount`, `baseTokenSymbol`).
+ * 2. Calls the `borrow` method in the lending module to:
+ *    - Verify collateral sufficiency.
+ *    - Deduct the borrowed tokens from the liquidity pool.
+ *    - Increase the user's debt.
+ *    - Credit the borrowed tokens to the user's wallet.
+ * 3. Returns a response with the result of the borrowing operation.
+ *
+ *
+ * Example Request:
+ * ```json
+ * {
+ *   "userId": "user1",
+ *   "borrowAmount": 150,
+ *   "baseTokenSymbol": "BTC"
+ * }
+ * ```
+ *
+ * Example Response:
+ * ```json
+ * {
+ *   "statusCode": 200,
+ *   "body": "Borrowed 150 of token BTC against collateral."
+ * }
+ * ```
+ */
+export function borrowEndpoint(request: ccfapp.Request): ccfapp.Response {
+    let body;
+    try {
+        body = request.body.json();
+    } catch {
+        return { statusCode: 400, body: "Invalid request body" };
+    }
+
+    const { userId, borrowAmount, baseTokenSymbol } = body;
+
+    // Validate input parameters
+    if (!userId || !baseTokenSymbol || borrowAmount <= 0) {
+        return { statusCode: 400, body: "Invalid input parameters" };
+    }
+
+    try {
+        // Attempt to borrow tokens using the lending logic
+        const result = borrow(userId, borrowAmount, baseTokenSymbol);
+
+        return { statusCode: 200, body: result };
+    } catch (error) {
+        return handleError(error);
+    }
+}
diff --git a/lending-app/src/endpoints/liquidityPools.ts b/lending-app/src/endpoints/liquidityPools.ts
new file mode 100644
index 0000000..1616bc0
--- /dev/null
+++ b/lending-app/src/endpoints/liquidityPools.ts
@@ -0,0 +1,165 @@
+import * as ccfapp from "@microsoft/ccf-app";
+import { addLiquidity, removeLiquidity } from "../modules/liquidityPools";
+import { handleError } from "../utils/errorHandler";
+
+/**
+ * Handles depositing tokens into the lending protocol as collateral.
+ *
+ * This endpoint allows users to deposit tokens into the lending protocol
+ * to be used as collateral for borrowing other tokens. The collateral
+ * increases the user's borrowing capacity and is deducted from their wallet.
+ *
+ * Liquidity Pools:
+ * - Supported pools for collateral are `BTC` and `ETH`.
+ *
+ * Input:
+ * - `userId` (string): The unique identifier for the user making the deposit.
+ * - `symbol` (string): The token symbol to deposit as collateral (e.g., "BTC", "ETH").
+ * - `amount` (number): The amount of the token to deposit.
+ *
+ * Output:
+ * - Success: Returns a success message confirming the collateral addition.
+ * - Failure: Returns an error message with the appropriate HTTP status code.
+ *
+ * Workflow:
+ * 1. Validate the input parameters (`userId`, `symbol`, `amount`).
+ * 2. Deduct the specified token amount from the user's wallet.
+ * 3. Add the deducted tokens to the user's collateral balance.
+ * 4. Update the account and collateral records in the protocol.
+ *
+ * Example Request:
+ * ```json
+ * {
+ *   "userId": "user1",
+ *   "symbol": "BTC",
+ *   "amount": 2
+ * }
+ * ```
+ *
+ * Example Response (Success):
+ * ```json
+ * {
+ *   "statusCode": 200,
+ *   "body": "Added 2 of token BTC as collateral for user1."
+ * }
+ * ```
+ *
+ * Example Response (Error: Invalid Input):
+ * ```json
+ * {
+ *   "statusCode": 400,
+ *   "body": "Invalid input parameters"
+ * }
+ * ```
+ */
+export function addLiquidityEndpoint(request: ccfapp.Request): ccfapp.Response {
+    let body;
+    try {
+        body = request.body.json();
+    } catch {
+        return { statusCode: 400, body: "Invalid request body" };
+    }
+
+    const { userId, symbol, amount } = body;
+
+    if (!userId || !symbol || amount <= 0) {
+        return { statusCode: 400, body: "Invalid input parameters" };
+    }
+
+    try {
+        const result = addLiquidity(userId, symbol, amount);
+        return { statusCode: 200, body: result };
+    } catch (error) {
+        return handleError(error);
+    }
+}
+
+
+/**
+ * Handles the removal of liquidity from the protocol's liquidity pools.
+ *
+ * This endpoint allows users to withdraw their previously supplied liquidity
+ * from the protocol. The tokens are deducted from the pool's total liquidity
+ * and returned to the user's wallet. Liquidity providers may also forfeit any
+ * accrued interest when withdrawing their contribution.
+ *
+ * Liquidity Pools:
+ * - Supported pools for liquidity are `BTC` and `ETH`.
+ *
+ * Input:
+ * - `userId` (string): The unique identifier of the user requesting the withdrawal.
+ * - `symbol` (string): The token symbol of the pool to withdraw liquidity from (e.g., "BTC", "ETH").
+ * - `amount` (number): The amount of tokens to withdraw from the liquidity pool.
+ *
+ * Output:
+ * - Success: Returns a success message confirming the withdrawal.
+ * - Failure: Returns an error message with the appropriate HTTP status code.
+ *
+ * Workflow:
+ * 1. Validate the input parameters (`userId`, `symbol`, `amount`).
+ * 2. Retrieve the user's contribution to the specified liquidity pool.
+ * 3. Verify that the user has sufficient liquidity in the pool to fulfill the withdrawal request.
+ * 4. Deduct the requested amount from the pool's total liquidity.
+ * 5. Credit the withdrawn tokens to the user's wallet.
+ * 6. Update the pool and user records in the protocol.
+ * 7. Return a success message confirming the withdrawal.
+ *
+ * Example Request:
+ * ```json
+ * {
+ *   "userId": "user1",
+ *   "symbol": "BTC",
+ *   "amount": 1.5
+ * }
+ * ```
+ *
+ * Example Response (Success):
+ * ```json
+ * {
+ *   "statusCode": 200,
+ *   "body": "Removed 1.5 of token BTC from the liquidity pool for user1."
+ * }
+ * ```
+ *
+ * Example Response (Error: Insufficient Liquidity):
+ * ```json
+ * {
+ *   "statusCode": 400,
+ *   "body": "Insufficient liquidity in the user's contribution to the BTC pool."
+ * }
+ * ```
+ *
+ * Example Response (Error: Invalid Input):
+ * ```json
+ * {
+ *   "statusCode": 400,
+ *   "body": "Invalid input parameters"
+ * }
+ * ```
+ *
+ * Notes:
+ * - The protocol ensures that the user's withdrawal request does not exceed their contribution to the specified pool.
+ * - Withdrawing liquidity may impact the interest earnings of the user, as interest is proportional to the remaining contribution.
+ * - This operation reduces the total liquidity available in the specified pool, affecting other borrowers and liquidity providers.
+ */
+export function removeLiquidityEndpoint(request: ccfapp.Request): ccfapp.Response {
+    let body;
+    try {
+        body = request.body.json();
+    } catch {
+        return { statusCode: 400, body: "Invalid request body" };
+    }
+
+    const { userId, symbol, amount } = body;
+
+    if (!userId || !symbol || amount <= 0) {
+        return { statusCode: 400, body: "Invalid input parameters" };
+    }
+
+    try {
+        const result = removeLiquidity(userId, symbol, amount);
+        return { statusCode: 200, body: result };
+    } catch (error) {
+        return handleError(error);
+    }
+}
diff --git a/lending-app/src/endpoints/wallet.ts b/lending-app/src/endpoints/wallet.ts
new file mode 100644
index 0000000..6f48773
--- /dev/null
+++ b/lending-app/src/endpoints/wallet.ts
@@ -0,0 +1,208 @@
+import * as ccfapp from "@microsoft/ccf-app";
+import { depositToken, withdrawToken } from "../modules/wallet";
+import { getOrCreateAccount } from "../modules/accounts";
+import { handleError } from "../utils/errorHandler";
+
+/**
+ * Handles depositing tokens into a user's wallet.
+ *
+ * This endpoint allows tokens to be added to a user's wallet balance. It is typically
+ * used to credit tokens after borrowing, interest accrual, or rewards distribution.
+ *
+ * Input:
+ * - `userId` (string): The unique identifier for the user receiving the tokens.
+ * - `token` (string): The token symbol to deposit (e.g., "USDT", "DEFI").
+ * - `amount` (number): The amount of tokens to deposit into the wallet.
+ *
+ * Output:
+ * - Success: Returns a success message confirming the deposit.
+ * - Failure: Returns an error message with the appropriate HTTP status code.
+ *
+ * Workflow:
+ * 1. Validate the input parameters (`userId`, `token`, `amount`).
+ * 2. Add the specified token and amount to the user's wallet balance.
+ * 3. Update the user's account in the account table.
+ * 4. Return a success message.
+ *
+ * Example Request:
+ * ```json
+ * {
+ *   "userId": "user1",
+ *   "token": "USDT",
+ *   "amount": 100
+ * }
+ * ```
+ *
+ * Example Response (Success):
+ * ```json
+ * {
+ *   "statusCode": 200,
+ *   "body": "Deposited 100 of token USDT into user1's wallet."
+ * }
+ * ```
+ *
+ * Example Response (Error: Invalid Input):
+ * ```json
+ * {
+ *   "statusCode": 400,
+ *   "body": "Invalid input parameters"
+ * }
+ * ```
+ */
+export function depositTokenEndpoint(request: ccfapp.Request): ccfapp.Response {
+  let body;
+  try {
+    body = request.body.json();
+  } catch {
+    return { statusCode: 400, body: "Invalid request body" };
+  }
+
+  const { userId, token, amount } = body;
+
+  // Validate input parameters
+  if (!userId || !token || amount <= 0) {
+    return { statusCode: 400, body: "Invalid input parameters" };
+  }
+
+  try {
+    const result = depositToken(userId, token, amount);
+    return { statusCode: 200, body: result };
+  } catch (error) {
+    return handleError(error);
+  }
+}
+
+/**
+ * Handles withdrawing tokens from a user's wallet.
+ *
+ * This endpoint allows tokens to be deducted from a user's wallet balance. It is typically
+ * used when users deposit collateral, repay loans, or transfer tokens.
+ *
+ * Input:
+ * - `userId` (string): The unique identifier for the user.
+ * - `token` (string): The token symbol to withdraw (e.g., "USDT", "BTC").
+ * - `amount` (number): The amount of tokens to withdraw from the wallet.
+ *
+ * Output:
+ * - Success: Returns a success message confirming the withdrawal.
+ * - Failure: Returns an error message with the appropriate HTTP status code.
+ *
+ * Workflow:
+ * 1. Validate the input parameters (`userId`, `token`, `amount`).
+ * 2. Deduct the specified token and amount from the user's wallet balance.
+ * 3. Update the user's account in the account table.
+ * 4. Return a success message.
+ *
+ * Example Request:
+ * ```json
+ * {
+ *   "userId": "user1",
+ *   "token": "USDT",
+ *   "amount": 50
+ * }
+ * ```
+ *
+ * Example Response (Success):
+ * ```json
+ * {
+ *   "statusCode": 200,
+ *   "body": "Withdrew 50 of token USDT from user1's wallet."
+ * }
+ * ```
+ *
+ * Example Response (Error: Insufficient Balance):
+ * ```json
+ * {
+ *   "statusCode": 400,
+ *   "body": "Insufficient balance in the wallet for token USDT."
+ * }
+ * ```
+ */
+export function withdrawTokenEndpoint(request: ccfapp.Request): ccfapp.Response {
+  let body;
+  try {
+    body = request.body.json();
+  } catch {
+    return { statusCode: 400, body: "Invalid request body" };
+  }
+
+  const { userId, token, amount } = body;
+
+  // Validate input parameters
+  if (!userId || !token || amount <= 0) {
+    return { statusCode: 400, body: "Invalid input parameters" };
+  }
+
+  try {
+    const result = withdrawToken(userId, token, amount);
+    return { statusCode: 200, body: result };
+  } catch (error) {
+    return handleError(error);
+  }
+}
+
+/**
+ * Retrieves the wallet balance for a specific token and user.
+ *
+ * This endpoint allows users or external systems to query the balance of a specific
+ * token in the user's wallet.
+ *
+ * Input:
+ * - `userId` (string): The unique identifier for the user.
+ * - `token` (string): The token symbol to query (e.g., "BTC", "ETH").
+ *
+ * Output:
+ * - Success: Returns the wallet balance for the specified token.
+ * - Failure: Returns an error message with the appropriate HTTP status code.
+ *
+ * Workflow:
+ * 1. Validate the input parameters (`userId`, `token`).
+ * 2. Retrieve the user's account and wallet balance for the specified token.
+ * 3. Return the balance.
+ *
+ * Example Request:
+ * ```
+ * GET /wallet/balance?user_id=user1&token=BTC
+ * ```
+ *
+ * Example Response (Success):
+ * ```json
+ * {
+ *   "statusCode": 200,
+ *   "body": {
+ *     "walletBalance": 150
+ *   }
+ * }
+ * ```
+ *
+ * Example Response (Error: Invalid Input):
+ * ```json
+ * {
+ *   "statusCode": 400,
+ *   "body": "User ID is required"
+ * }
+ * ```
+ */
+export function getWalletBalanceEndpoint(
+  request: ccfapp.Request,
+): ccfapp.Response {
+  const userId = request.params.user_id;
+  const token = request.params.token;
+
+  // Validate input parameters
+  if (!userId) {
+    return { statusCode: 400, body: "User ID is required" };
+  }
+
+  if (!token) {
+    return { statusCode: 400, body: "Token is required" };
+  }
+
+  // Retrieve the user's account and balance
+  const account = getOrCreateAccount(userId);
+
+  return {
+    statusCode: 200,
+    body: { walletBalance: account.balances[token] || 0 },
+  };
+}
\ No newline at end of file
diff --git a/lending-app/src/index.ts b/lending-app/src/index.ts
new file mode 100644
index 0000000..210bd1a
--- /dev/null
+++ b/lending-app/src/index.ts
@@ -0,0 +1,4 @@
+import "./endpoints/lending";
+import "./endpoints/wallet";
+
+console.log("DeFi like Lending Sample ...");
\ No newline at end of file
diff --git a/lending-app/src/modules/accounts.ts b/lending-app/src/modules/accounts.ts
new file mode 100644
index 0000000..ed7a4ee
--- /dev/null
+++ b/lending-app/src/modules/accounts.ts
@@ -0,0 +1,27 @@
+import * as ccfapp from "@microsoft/ccf-app";
+
+export interface Account {
+  balances: Record<string, number>; // Token balances keyed by token address
+  collateral: Record<string, number>;              // Total collateral locked
+  debt: number;                    // Total debt
+}
+
+export const accountTable = ccfapp.typedKv(
+  "accounts",
+  ccfapp.string,
+  ccfapp.json<Account>(),
+);
+
+export function getOrCreateAccount(userId: string): Account {
+  if (!accountTable.has(userId)) {
+    const newAccount: Account = {
+      balances: {},  // Initialize empty balances
+      collateral: {},
+      debt: 0,
+    };
+    accountTable.set(userId, newAccount);
+    return newAccount;
+  }
+
+  return accountTable.get(userId) as Account;
+}
diff --git a/lending-app/src/modules/interest.ts b/lending-app/src/modules/interest.ts
new file mode 100644
index 0000000..9a01133
--- /dev/null
+++ b/lending-app/src/modules/interest.ts
@@ -0,0 +1,44 @@
+import { accountTable, getOrCreateAccount } from "./accounts";
+import { poolTable } from "./liquidityPools";
+import { logTransaction } from "./transactions";
+
+const BASE_RATE = 0.02;
+
+export function accrueInterest(): void {
+  const pool = poolTable.get("defaultPool");
+  if (!pool) {
+    console.error("Liquidity pool does not exist.");
+    return;
+  }
+
+  // Iterate over all tokens in the pool
+  for (const token in pool.totalLiquidity) {
+    const totalLiquidity = pool.totalLiquidity[token];
+
+    if (totalLiquidity > 0) {
+      // Calculate total interest for the pool
+      const totalInterest = totalLiquidity * BASE_RATE;
+
+      // Distribute interest to all contributors
+      for (const userId in pool.contributions[token]) {
+        const userContribution = pool.contributions[token][userId];
+        const userInterest = (userContribution / totalLiquidity) * totalInterest;
+
+        // Add interest to the user's balance
+        const account = getOrCreateAccount(userId);
+        account.balances[token] = (account.balances[token] || 0) + userInterest;
+        accountTable.set(userId, account);
+
+        logTransaction("accrueInterest", userId, userInterest);
+
+        console.log(`Accrued ${userInterest} of token ${token} to user ${userId}`);
+      }
+
+      // Deduct total interest from the protocol's total liquidity
+      pool.totalLiquidity[token] -= totalInterest;
+    }
+  }
+
+  // Update the pool in the table
+  poolTable.set("defaultPool", pool);
+}
diff --git a/lending-app/src/modules/lending.ts b/lending-app/src/modules/lending.ts
new file mode 100644
index 0000000..12d3bd9
--- /dev/null
+++ b/lending-app/src/modules/lending.ts
@@ -0,0 +1,60 @@
+import { accountTable, getOrCreateAccount } from "./accounts";
+import { logTransaction } from "./transactions";
+import { depositToken } from "./wallet";
+import { poolTable } from "./liquidityPools";
+
+const COLLATERAL_FACTOR = 1.5;
+
+export function addCollateral(userId: string, symbol: string, amount: number): string {
+  const account = getOrCreateAccount(userId);
+
+  if ((account.balances[symbol] || 0) < amount) {
+    throw new Error("Insufficient token balance.");
+  }
+
+  account.balances[symbol] -= amount;
+  account.collateral[symbol] = (account.collateral[symbol] || 0) + amount;
+  accountTable.set(userId, account);
+
+  logTransaction("addCollateral", userId, amount);
+
+  return `Added ${amount} of token ${symbol} as collateral for ${userId}.`;
+}
+
+export function borrow(userId: string, borrowAmount: number, baseTokenSymbol: string): string {
+  const account = getOrCreateAccount(userId);
+
+  // Calculate total collateral value with collateral factor applied
+  const totalCollateral = Object.values(account.collateral).reduce((sum, amount) => sum + amount, 0);
+  const maxBorrowable = totalCollateral / COLLATERAL_FACTOR;
+
+  if (borrowAmount > maxBorrowable) {
+    throw new Error("Insufficient collateral to borrow this amount.");
+  }
+
+  // Deduct the borrowed amount from the protocol's total supply
+  // Step 2: Access the liquidity pool and check total supply
+  const pool = poolTable.get("defaultPool");
+  if (!pool || (pool.totalLiquidity[baseTokenSymbol] || 0) < borrowAmount) {
+    throw new Error(`Insufficient liquidity in the pool for token ${baseTokenSymbol}.`);
+  }
+
+  // Step 3: Withdraw the borrowed amount from the liquidity pool
+  pool.totalLiquidity[baseTokenSymbol] -= borrowAmount;
+  poolTable.set("defaultPool", pool);
+
+  // Credit the borrowed amount to the user's wallet
+  depositToken(userId, baseTokenSymbol, borrowAmount);
+
+  // Increase the user's debt
+  account.debt += borrowAmount;
+
+  // Update the user's account in the account table
+  accountTable.set(userId, account);
+
+  // Log the borrowing transaction
+  logTransaction("borrow", userId, borrowAmount);
+
+  return `Borrowed ${borrowAmount} of token ${baseTokenSymbol} against collateral.`;
+}
+
diff --git a/lending-app/src/modules/liquidityPools.ts b/lending-app/src/modules/liquidityPools.ts
new file mode 100644
index 0000000..1fdf418
--- /dev/null
+++ b/lending-app/src/modules/liquidityPools.ts
@@ -0,0 +1,76 @@
+import * as ccfapp from "@microsoft/ccf-app";
+import { accountTable, getOrCreateAccount } from "./accounts";
+import { logTransaction } from "./transactions";
+
+export interface Pool {
+    totalLiquidity: Record<string, number>; // Total liquidity for each token
+    contributions: Record<string, Record<string, number>>; // User contributions per token
+  }
+  
+
+export const poolTable = ccfapp.typedKv(
+  "liquidityPools",
+  ccfapp.string, // Key: pool identifier (e.g., "defaultPool")
+  ccfapp.json<Pool>(), // Value: Pool object
+);
+
+export function addLiquidity(userId: string, symbol: string, amount: number): string {
+  const account = getOrCreateAccount(userId);
+
+  if ((account.balances[symbol] || 0) < amount) {
+    throw new Error("Insufficient token balance.");
+  }
+
+  // Get or create the pool
+  const pool = poolTable.get("defaultPool") || { totalLiquidity: {}, contributions: {} };
+
+  // Update the user's contribution
+  pool.contributions[symbol] = pool.contributions[symbol] || {};
+  pool.contributions[symbol][userId] = (pool.contributions[symbol][userId] || 0) + amount;
+
+  // Update total liquidity
+  pool.totalLiquidity[symbol] = (pool.totalLiquidity[symbol] || 0) + amount;
+
+  // Deduct the tokens from the user's wallet
+  account.balances[symbol] -= amount;
+  poolTable.set("defaultPool", pool);
+
+  // Update the account in the table
+  accountTable.set(userId, account);
+
+  logTransaction("addLiquidity", userId, amount);
+
+  return `Added ${amount} of token ${symbol} to the liquidity pool.`;
+}
+
+export function removeLiquidity(userId: string, symbol: string, amount: number): string {
+    const account = getOrCreateAccount(userId);
+  
+    // Get the pool
+    const pool = poolTable.get("defaultPool");
+    if (!pool || !pool.contributions[symbol] || (pool.contributions[symbol][userId] || 0) < amount) {
+      throw new Error("Insufficient liquidity in the pool.");
+    }
+  
+    // Update the user's contribution
+    pool.contributions[symbol][userId] -= amount;
+  
+    // Remove the entry if the contribution is now zero
+    if (pool.contributions[symbol][userId] === 0) {
+      delete pool.contributions[symbol][userId];
+    }
+  
+    // Update total liquidity
+    pool.totalLiquidity[symbol] -= amount;
+  
+    // Credit the tokens back to the user's wallet
+    account.balances[symbol] = (account.balances[symbol] || 0) + amount;
+  
+    poolTable.set("defaultPool", pool);
+    accountTable.set(userId, account);
+  
+    logTransaction("removeLiquidity", userId, amount);
+  
+    return `Removed ${amount} of token ${symbol} from the liquidity pool.`;
+  }
+  
\ No newline at end of file
diff --git a/lending-app/src/modules/token.ts b/lending-app/src/modules/token.ts
new file mode 100644
index 0000000..e5bb985
--- /dev/null
+++ b/lending-app/src/modules/token.ts
@@ -0,0 +1,28 @@
+
+import * as ccfapp from "@microsoft/ccf-app";
+
+
+export interface Token {
+    name: string;
+    symbol: string;
+    totalSupply: number;
+}
+
+export const tokenTable = ccfapp.typedKv(
+    "tokens",
+    ccfapp.string,         // Key: token symbol
+    ccfapp.json<Token>(),  // Value: Token object
+);
+
+
+export function createToken(symbol: string, name: string, totalSupply: number): string {
+    if (tokenTable.has(symbol)) {
+      throw new Error(`Token with symbol ${symbol} already exists.`);
+    }
+  
+    const token: Token = { name, symbol, totalSupply };
+    tokenTable.set(symbol, token);
+  
+    return `Token ${name} (${symbol}) created with total supply of ${totalSupply}`;
+  }
+  
\ No newline at end of file
diff --git a/lending-app/src/modules/transactions.ts b/lending-app/src/modules/transactions.ts
new file mode 100644
index 0000000..6fc5b9b
--- /dev/null
+++ b/lending-app/src/modules/transactions.ts
@@ -0,0 +1,25 @@
+import * as ccfapp from "@microsoft/ccf-app";
+
+export interface Transaction {
+  action: string;
+  user: string;
+  amount: number;
+  timestamp: string;
+}
+
+export const transactionTable = ccfapp.typedKv(
+  "transactions",
+  ccfapp.string,
+  ccfapp.json<Transaction>(),
+);
+
+export function logTransaction(action: string, user: string, amount: number) {
+  const transactionId = `${Date.now()}-${user}`;
+  const transaction: Transaction = {
+    action,
+    user,
+    amount,
+    timestamp: new Date().toISOString(),
+  };
+  transactionTable.set(transactionId, transaction);
+}
\ No newline at end of file
diff --git a/lending-app/src/modules/wallet.ts b/lending-app/src/modules/wallet.ts
new file mode 100644
index 0000000..6c40239
--- /dev/null
+++ b/lending-app/src/modules/wallet.ts
@@ -0,0 +1,44 @@
+import { Account, getOrCreateAccount } from "./accounts";
+import { logTransaction } from "./transactions";
+
+export function depositToken(userId: string, token: string, amount: number): string {
+  const account = getOrCreateAccount(userId);
+
+  const balance = getTokenBalance(account, token);
+  updateTokenBalance(account, token, balance + amount);
+
+  logTransaction("depositToken", userId, amount);
+
+  return `Deposited ${amount} of token ${token} to ${userId}'s wallet.`;
+}
+
+
+export function withdrawToken(userId: string, token: string, amount: number): string {
+  const account = getOrCreateAccount(userId);
+
+  const balance = getTokenBalance(account, token);
+
+  if (balance < amount) {
+    throw new Error(`Insufficient balance for token ${token}`);
+  }
+
+  // Deduct the amount and update the balance
+  updateTokenBalance(account, token, balance - amount);
+
+  // Log the transaction
+  logTransaction("withdrawToken", userId, amount);
+
+  return `Withdrawn ${amount} of token ${token} from ${userId}'s wallet.`;
+}
+
+function getTokenBalance(account: Account, token: string): number {
+  return account.balances[token] || 0;
+}
+
+function updateTokenBalance(account: Account, token: string, amount: number): void {
+  if (amount === 0) {
+    delete account.balances[token];
+  } else {
+    account.balances[token] = amount;
+  }
+}
diff --git a/lending-app/src/utils/errorHandler.ts b/lending-app/src/utils/errorHandler.ts
new file mode 100644
index 0000000..69f7c22
--- /dev/null
+++ b/lending-app/src/utils/errorHandler.ts
@@ -0,0 +1,10 @@
+import * as ccfapp from "@microsoft/ccf-app";
+
+
+export function handleError(error: unknown): ccfapp.Response {
+    if (error instanceof Error) {
+        return { statusCode: 400, body: error.message };
+    } else {
+        return { statusCode: 400, body: "An unknown error occurred." };
+    }
+}
\ No newline at end of file
diff --git a/lending-app/tsconfig.json b/lending-app/tsconfig.json
new file mode 100644
index 0000000..d916a2c
--- /dev/null
+++ b/lending-app/tsconfig.json
@@ -0,0 +1,13 @@
+{
+  "compilerOptions": {
+    "target": "es2020",
+    "module": "commonjs",
+    "strict": true,
+    "esModuleInterop": true,
+    "skipLibCheck": true,
+    "outDir": "./dist",
+    "rootDir": "./src"
+  },
+  "include": ["src/**/*"],
+  "exclude": ["node_modules"]
+}
\ No newline at end of file