> For the complete documentation index, see [llms.txt](https://sparklexai.gitbook.io/docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://sparklexai.gitbook.io/docs/fundamentals/receipt-tokens.md).

# Receipt Tokens

Any time you deposit into a DeFi protocol, you get something back—a token that represents your claim on the deposit. Think of it as a **receipt**. It proves what you own and lets you take it back later. It also shows *how* your position earns. That growth pattern matters for both returns and risk.

### **Interest-Bearing Tokens (IBTs)**

These come mostly from lending markets. Your position grows as borrowers pay interest. Sometimes the exchange rate rises (1 cDAI gradually becomes worth more DAI). Other times your token balance increases (your aUSDC count inches up). The growth is steady and easy to track, which is why IBTs are widely used as collateral—you can borrow against something that doesn’t surprise you. Examples: cDAI / cETH (Compound), aUSDC / aWETH (Aave), mTokens (Morpho).<br>

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### **Yield-Bearing Tokens (YBTs)**

YBTs collect more than lending interest. They can bundle staking rewards, trading fees, emissions, or even real-world yield. A few quick examples: stETH earns validator rewards; a Uniswap v3 LP NFT captures swap fees inside a price range; sDAI reflects yield from tokenized T-Bills. YBTs may:

* Rebase (your balance grows),
* Accrue value (price rises vs. underlying), and
* Drip rewards (you claim a second token)

Because they pull from multiple sources, YBTs often pay more—but they also carry extra moving parts: impermanent loss in LPs, validator slashing in staking, external market or custody risk in RWA tokens.

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### **Where SparkleX Fits**

When you deposit into a SparkleX Earning Vault, you receive a **vault receipt token** that behaves like a YBT: it reflects all the yield streams your deposit is tapping—lending interest, staking rewards, incentive tokens, looped leverage gains, and auto-compounded returns.&#x20;

Behind the scenes, SparkleX’s engine tracks each source and normalizes it into one clean **net APY** you can compare at a glance. No spreadsheets, no guesswork. Return the receipt token any time to withdraw your share—principal plus everything it earned.