> For the complete documentation index, see [llms.txt](https://enclabs.gitbook.io/enclabs-documentation/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://enclabs.gitbook.io/enclabs-documentation/lending-markets/isolated-pools.md).

# Isolated Pools

Isolated Pools represent independent collections of assets, each configured with its own risk management parameters. 

This setup offers users enhanced flexibility in managing risk while allocating assets to earn yield. 

By containing risks within individual pools, Isolated Pools prevent disruptions in one market from affecting the broader liquidity of the protocol.

Each pool is designed to offer tailored incentives, providing users with market-specific rewards that align with their participation.

#### Architecture of Isolated Pools

At the core of the Isolated Pools system is the **PoolRegistry** contract, which functions as a central registry for isolated lending pools. 

This contract manages pool creation, registration, and retrieval of pool details through specialized functions.

When a new market is introduced to a lending pool, the **PoolRegistry** deploys a new interest rate model with an upgradable **VToken** for that market. Once deployed, the new market must receive approval from its **Comptroller** before it becomes fully integrated into the system.