> For the complete documentation index, see [llms.txt](https://wp.isc.money/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://wp.isc.money/how-isc-works/the-isc-reserves/basic-mechanics.md).

# Basic Mechanics

#### **i. ISC Issuer: Issues or Recalls ISC Loans**

<figure><img src="/files/IJOBwZTacBfeIXQvKOQE" alt=""><figcaption></figcaption></figure>

The ISC Issuer is responsible for issuing and recalling ISC Loans to the ISC Reserves. The size of each ISC Loan are determined a variety of factors, such as the liquidity and price of ISC, as well as the reliability of the ISC Reserve.

#### **ii. ISC Reserves: Provides Liquidity to the Digital Asset Market**

<figure><img src="/files/VHaAbvcRfXPBpF81oHrh" alt=""><figcaption></figcaption></figure>

The ISC Reserves provides a continuous liquidity for ISC to the Digital Asset Market by buying and selling ISC as appropriate. The cash generated from each ISC is used to implement its ISC Reserve Basket. This system ensures that there is always enough liquidity for users to be able to buy or sell ISC.

#### **iii. ISC Reserves: Implements the ISC Reserve Basket**

<figure><img src="/files/W1D81T2V97JgA2nPU1LV" alt=""><figcaption></figcaption></figure>

ISC Reserves interface with the Real World Asset Market to buy and sell the assets required to implement the ISC Reserve Basket for each ISC in circulation. The assets purchased by the ISC Reserves are used to maintain the ISC Target Price.


---

# Agent Instructions
This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com.

## Querying This Documentation
If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter:

```
GET https://wp.isc.money/how-isc-works/the-isc-reserves/basic-mechanics.md?ask=<question>&goal=<endgoal>
```

`ask` is the immediate question: it should be specific, self-contained, and written in natural language.
`goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal.

The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.