> For the complete documentation index, see [llms.txt](https://docs.drunkencats.xyz/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.drunkencats.xyz/getting-started/why-drunkencats-exists.md).

# Why DrunkenCats Exists

## Problem

The emerging LitVM ecosystem is entering its earliest growth stage creating strong opportunities, but also several core infrastructure challenges.

### Limited early liquidity

As one of the first DeFi ecosystems on LitVM, liquidity is still in the bootstrapping phase.

New networks often face:

* Shallow liquidity pools
* High slippage on swaps
* Limited capital efficiency
* Few reliable on-chain liquidity venues

Without strong liquidity infra, ecosystem growth becomes slower for both users and builders.

### Missing core DeFi infrastructure

Early ecosystems need more than token swaps.

Users and builders require:

* Decentralized asset swaps
* Liquidity provisioning
* Portfolio visibility
* Stable liquidity through collateralized borrowing
* Reliable on-chain tools in one place

Without these primitives, users are forced to rely on fragmented tools or wait for the ecosystem to mature.

### Hard onboarding

For new users entering LitVM, the first steps can feel fragmented.

Typical friction includes:

* Adding a new network
* Finding working DeFi applications
* Getting testnet assets
* Understanding where liquidity exists
* Navigating ecosystem tools

Reducing onboarding friction is critical for ecosystem adoption.

***

## Solution

DrunkenCats is built as one of LitVM’s earliest DeFi infrastructure layers — providing a unified platform for trading, liquidity, CDP, and user onboarding.

| Problem                     | Solution                                                                                                                                                                                                                              |
| --------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| Limited early liquidity     | Deep liquidity pools with LP incentives and designed to bootstrap ecosystem liquidity.                                                                                                                                                |
| Missing DeFi infrastructure | Unified platform for **Swaps, Liquidity, CDP and Portfolio tracking.**                                                                                                                                                                |
| Hard onboarding             | Instead of fragmented or overly complex DeFi tools, DrunkenCats provides a simple and intuitive experience making it easier for both newcomers and experienced users to swap assets, provide liquidity and access on-chain borrowing. |
| Limited capital efficiency  | CDP system enables users to lock collateral and mint liquidity without selling core assets.                                                                                                                                           |

DrunkenCats aims to become a foundational liquidity hub for LitVM helping users access capital, trade assets and participate in the ecosystem from day one.


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