dHEDGE V2 Optimizes the Decentralized Hedge Fund ExperienceRead on the DeFi Pulse Blog

Key Stats

Total Value Locked24H
in USD$1.97B-0.5%
in ETH789.3K ETH+2.2%
in BTC51K BTC+2.7%
ETH Locked611.17K ETH+1.6K ETH
% Supply Locked0.52%
Blockchain
Ethereum
Most Locked$ETH
Protocol Token$LQTY

Total Value Locked (USD) in Liquity

  • TVL (USD)
  • ETH
  • All
  • 1 Year
  • 90 Day
  • 30 Day
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What is Liquity?

Liquity is an interest-free, collateralized borrowing protocol and stablecoin with novel batched and instant liquidations. It is governance-free, completely immutable, and has a minimum collateral ratio of 110%. Users lock ETH as collateral and issue the LUSD stablecoin against it, only paying a one-time borrowing fee. Their collateralized debt position is known as a “Trove”. Any LUSD holder is free to deposit to the Stability Pool, where their LUSD will be used to soak up debt from liquidated troves. In return, LUSD depositors receive a share of the liquidated ETH collateral, and can expect a net gain as the value of liquidated collateral is nearly always greater than the debt. The LUSD token is fully redeemable, and 1 LUSD may always be redeemed for $1 worth of ETH with the system at any time, subject to a redemption fee. LQTY is the Liquity system token. It is issued continuously as a reward to Stability Pool depositors, and can be staked in order to earn a share of the borrowing and redemption fees.


How to use Liquity?

Users may access the Liquity protocol through any third-party front end. Liquity.org hosts a list of active front end operators. Front ends compete on UX, trust, and their chosen “kickback rate” which determines the fraction of LQTY rewards their depositors earn. A user opens a Trove by depositing ETH collateral, and withdraws LUSD - they may then deposit their LUSD to earn LQTY and ETH over time, and stake their LQTY to earn a share of system fees.