An isolated lending pair is effectively the pairing of one asset which is the collateral type, and another asset which is the lending asset. When users choose to lend in isolated lending pools, they are not taking on the risk of the entire protocol. Meaning, if a user contributes stablecoin to one pool, those stablecoins are lent out only to borrowers who are depositing the corresponding collateral associated with the lending pool. Thus, lenders can choose to take on only the level of risk in which they are comfortable. Risk-tolerant users can seek out higher risk-reward opportunities while risk-averse individuals can choose from more stable options.