> For the complete documentation index, see [llms.txt](https://doc.athenains.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://doc.athenains.io/technical-concepts/terminology.md).

# Terminology

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## ATEN

The native token of the Athena protocol, used for governance and staking.

## Claim

A request for compensation submitted by a cover holder when they believe the conditions for a payout have been met.

## Compensation

The payout made to cover holders when a valid claim is approved.

## Cover

Protection purchased by users to insure their assets against specific risks in DeFi protocols.

## Cover Pool

A pool of liquidity dedicated to providing coverage for a specific DeFi protocol or asset.

## Deductible

A small portion of cover refunds used to buy back and burn ATEN tokens, helping to stabilize token value during high claim activity periods.

## Leverage (in positions)

When a liquidity provider allocates their capital across multiple cover pools, potentially increasing their rewards but also their risk exposure.

## Liquidity Provider

Users who deposit assets into Athena's cover pools, earning rewards in exchange for underwriting risk.

## Overlaps

The shared liquidity between two or more cover pools, resulting from leveraged positions.

## Pool

A combination of a covered protocol (the insured DeFi protocol) and a strategy protocol (where liquidity is invested for extra rewards).

## Position

Represents a liquidity provider's stake in one or more cover pools, recorded as an ERC-721 token.

## Premium

The fee paid by cover buyers to maintain their protection.

## Premium Rate

The annualized cost of holding a cover in a given pool, expressed as a percentage.

## Prosecutor

A user who challenges a claim by providing evidence that the claim is invalid.

## Ray

A unit used for precise calculations in the protocol, equal to 1e27 (27 decimal places).

## Reward Rate

The annualized return for liquidity providers in a pool, calculated by multiplying the utilization rate and the premium rate.

## Staking

The process of locking up ATEN tokens to earn additional rewards and participate in governance.

## Strategy Protocol

The DeFi protocol where pool liquidity is invested to generate additional yields.

## Tick

A point on the timeline used to track cover durations and pool states. The distance between ticks (seconds per tick) can vary based on pool utilization.

## Utilization Rate

The percentage of a pool's liquidity currently allocated to active covers.

## vATEN

Voting ATEN, representing both governance voting power and share in protocol revenues, obtained by staking ATEN through the DAO.

## Virtual Pool

Athena's method of managing pool liquidity and cover data without creating separate contracts for each pool, allowing for efficient capital allocation.