> For the complete documentation index, see [llms.txt](https://hashmix.gitbook.io/hashmix-fil-liquid-staking/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://hashmix.gitbook.io/hashmix-fil-liquid-staking/valuation-model.md).

# Valuation Model

The valuation module is a fundamental element of the protocol. We designed a distinctive node valuation model that employs the SP's mature Storage Power as collateral. With this model, SPs can utilize their existing Storage Power for maximum capital efficiency while ensuring loan safety in any circumstance. This evaluation model has undergone extensive testing and has been proven to be secure in real-world settings, having been used successfully for approximately two years in HashMix FIL lending.