Earning with $BOLD in Liquity v2 https://t.co/DHpmPjpiBk

Earning with BOLD Liquity v2 will provide stablecoin holders with: - Real, sustainable yield in the form of BOLD revenues - Arbitrage opportunities across multiple Stability Pools - Higher stablecoin yield than traditional money markets Here's how 👇 Liquity v2 is built to not only provide a unique borrowing experience, but to also offer a dynamic marketplace between borrowers and stablecoin holders looking to earn attractive yields. The protocol will direct the lion’s share of its interest revenue to incentivize Stability Pool depositors (aka “Earners”), creating sustainable earning opportunities for BOLD holders. Unlike existing lending markets, Liquity v2 will generally be able to pass on a positive spread between borrowers and Stability Pool depositors depending on the utilization of BOLD in broader DeFi. This isn't possible on lending markets where borrowers always pay higher rates than what lenders receive. Stability Pool and liquidations Building on Liquity v1’s achievements, the protocol harnesses Stability Pools for efficient liquidations of bad debt and to ensure overcollateralization. In v2, depositors receive a pro rata share of the liquidated collateral for which the BOLD gets burned. BOLD deposits will thus be partially converted into ETH or LSTs as liquidations take place. In addition to liquidation gains, Stability Pool depositors in Liquity v2 (aka “Earners”) will receive a majority of the interest paid by the borrowers (in BOLD) of the respective borrow market, making it the primary source of yield. Multiple Stability Pools in v2 Unlike Liquity v1 with ETH as its sole collateral asset, Liquity v2 incorporates multiple Stability Pools, one for each collateral type (LSTs / ETH). Every collateral thus forms a separate borrow market with its own set of borrowers and a corresponding Stability Pool. Collateral risk is contained inside each group of borrowers (no mixing of collateral across borrow markets), while the exposure of depositors is primarily defined by the collateral asset they have opted for. However, as an overcollateralized stablecoin, BOLD ultimately remains dependent on all collateral assets, making collateral risk management particularly important. Liquity v2 introduces several new mechanisms to contain and reduce risk from each collateral: - Separate Stability Pools: the separation into multiple borrow markets and Stability Pools allows the markets to establish their own range of individual interest rates and risk parameters. - An adaptive redemption mechanism: collateral perceived by the market as risky will be preferentially redeemed to ensure the exposure of the system to this collateral type can be reduced. This mechanism will be covered in a separate post. These risk measures will be solely driven by market forces - there will be no need for governance oversight. Adaptive redemptions The protocol’s exposure to each LST will be reflected individually through the ratio between the debt collateralized by the LST and the size of the respective SP backing it. For example, the SP for pure ETH may cover 60% of the ETH-backed loans, while the SP for wstETH may only account for 40% of the wstETH-backed debt. This metric enables the protocol to manage collateral risks in an autonomous way by directing BOLD redemptions towards LSTs with lower SP backing. This mechanism is complemented by the fact that each borrow market will have its own redemption ordering based on the interest rates paid by its borrowers. Economic benefits of LST market segmentation Due to this economic segregation, each market will establish its own range of interest rates reflecting collateral risk, opportunity costs and competition. For example, borrowers are likely to pay higher average interest rates for LST-backed loans than for loans backed by pure ETH. Aside from just being a single stability pool depositor, users could also do more sophisticated strategies like the ones below. The interest rate difference will impact the amount of funds deposited into each Stability Pool, allowing the protocol to converge towards APRs reflecting the exposure to LSTs with different risk characteristics. To sum it up, depositors will have the choice to deposit their $BOLD to several Stability Pools depending on the expected yield and their desired exposure to collateral assets. While some depositors may chase the highest yield, others may, for instance, prefer more established LSTs over smaller cap LSTs. Creating sustainable yield generating opportunities is at the core of Liquity v2. By enshrining attractive Stability Pool yield, but also protocol incentivized liquidity, Liquity v2 aims to deliver predictable and sustainable yield opportunities with BOLD. Check the full article in the link below👇

Earning with BOLD https://t.co/DHpmPjpiBk

optimistic spring on @Optimism is in full flow 🔴 looking for things to do with your LUSD? here are a few options 👇 1) @VelodromeFi holders and liquidity providers of LUSD can get LP rewards on 4 different stablecoin and ETH pairs! check it out: https://velodrome.finance/ 2) @PoolTogether_ @PoolTogether_ the permissionless savings protocol, just launched their new version. LPs can pool their LUSD into the LUSD vault and get extra OP rewards Check it out : https://pooltogether.com/

1/ Community Rewards - March 🎉 The recipients will get rewards totalling 1'000 LQTY. @0xZentsu, @kevin_soell, @CryptosWith, @cryptoversidad and @RFDintern Pls RT so CT can see their work 🙏 *Rewards will be paid out in #ETH

Community Rewards - March 🚨 Submissions to claim are now open. If you contributed to the expansion of the Liquity ecosystem, then please submit your claim here: https://t.co/INp8084iRU

SPACES alert 🚨 and this is a big one... Join us tomorrow at 3pm UTC for an AMA on Liquity v2! We will be joined by @colingplatt, @bjnpck, @SamExotic3 RSVP 👇 https://t.co/FpTq4NKDp2

RSVP here: https://t.co/FpTq4NKDp2

Join our spaces with @FydeTreasury Fyde is an AI portfolio management service crafted by former NASA, JP Morgan, Bloomberg, Wintermute, Synthetix... team members. We'll cover DeFi, 2024 roadmaps, and address all your questions. Plus, learn how to participate in their points program👀 Don't miss it! Link below.

https://t.co/qffya4l0fr

🎉 Happy 3 years of Liquity! 🎈 What a journey it's been: • From pioneering immutable, interest-free borrowing ✅ • To becoming the first protocol to reach $1B within the first 10 days 👀 • To being one of the most forked protocols 😅 A heartfelt THANK YOU to our community for placing your trust in code, decentralization, and immutability 🙏 But the journey is far from over Liquity v2 awaits, and brings with it a new primitive: user-set interest rates. Onward!

in light of recent goVerNancE turmoil, a reminder that Liquity v2 will bring • no tradFi exposure • governance minimization • immutability • full autonomy over your interest rates max control, min reliance on third parties opt for peace of mind with $LUSD, and soon, $BOLD

Read our blog post on the borrowing enhancements that Liquity v2 brings here: https://t.co/tMzwTKq3C1 https://t.co/10GSvTpfty

study Liquity v2 https://t.co/tMzwTKq3C1

Liquity v2: Enhancing the borrowing experience Liquity v2's introduction of user-set interest rates brings an innovative approach to immutable, governance minimized protocols that are better adapted for more versatile market conditions ⚖️ But that's not all; let’s take a quick look at some of the other key features v2 introduces. Here's a quick TL;DR (blog post in the next tweet) 👇 • User-set interest rates • New collateral types - ETH and LST’s • Multiple Troves per address (and transferable) • Less frequent redemptions • Protocol-incentivized liquidity • Higher realizable LTV • Short-term loans • No more Recovery Mode • 1-click leverage And keeping what Liquity is known for: • No TradFi exposure • Immutability • Rigorous security • Predictable fees Let’s break down the borrowing enhancements in more detail ⏬ User-set interest rates 📊 User-set interest rates introduce a new primitive to DeFi. As a borrower, you will be able to choose any rate you like, and have full control over how much you want to pay. When opening a Trove, in addition to selecting the collateral and the amount to borrow, you have the freedom to set your own interest rate, which can be adjusted at any time. By introducing user-set interest rates, Liquity v2 splits redemption risk and liquidation risk. Liquidations will still be based on your loan-to-value ratio (LTV), while redemptions will be based on the interest rate you are paying, starting from borrowers paying the least. For a hands-off borrowing experience, Liquity v2 will also introduce the ability to delegate your interest rate to a 3rd party. 👇 New collateral types - ETH and LSTs 🔹 Apart from ETH, users will also be able to use certain LSTs as collateral. Every collateral will have its own separate borrow market, with its own interest rates and risk parameters. 👇 Less frequent redemptions ⏲️ The main force to decrease redemption frequency in v2 is the ability to increase BOLD holding demand. When redemptions occur, borrowers will tend to raise their interest rates to protect their positions. This will result in an increased yield for Stability Pool depositors, making it more attractive to buy and hold BOLD. 👇 Protocol-incentivized liquidity 🌊 To ensure sufficient liquidity on the secondary market, Liquity v2 comes with built-in liquidity incentives. It will divert a portion of its interest revenue to eligible LPs, determining the split between the pools through regular gauge voting 👇 Multiple and transferable Troves ✦ In v1, each user (Ethereum address) can have only one Trove open. In v2, you will be able to have multiple loans, even for the same collateral type. This enables you to apply different strategies for different portions of your portfolio. Furthermore, Troves are easily transferrable between addresses (ERC721). 👇 Short-term loans 🏦 In Liquity v1 you pay the borrow fee up front. This is great for longer loans, but not so much for short-term ones. With v2 there will be no up-front fee, but ongoing interest rate payments. This makes it much more suitable for short-term loans, and with the adjustable rates, flexible to changing conditions. 👇 No more Recovery Mode ✂️ Recovery Mode is a special protocol state in Liquity v1 where loans with a CR below 150%. The removal of Recovery Mode in v2 ensures that borrowers can benefit from a permanently high LTV regardless of the system state, and up to 11x leverage. 👇 1-click leverage 🎚️ You will be able to easily leverage up on your position with just one click. Leveraging (staked) ETH position is popular among Liquity users and across DeFi as a whole. In v2, you will be able to do it by just selecting your desired leverage and executing one transaction. All the differences in one image 👀 KEEPING WHAT LIQUITY IS KNOWN FOR ✅ While there are plenty of changes coming with v2, it will keep many things v1 is known and admired for 💪 No TradFi exposure ❌ Everything will live and be fully verifiable on-chain. No real world assets will be used, nor will there be any touch-points with centralized exchanges or similar institutions. Immutability ⛓️ All core contracts will be immutable, minimizing attack surface area. As with Liquity v1, no external parties or even the team itself, can ever change the protocol. Governance will be limited to peripheral components of the system, like LP incentives. Rigorous security 🔒 Liquity v1 is a thoroughly researched, tested and audited product. v2 will follow the same standard of multiple audits from top companies, extensive economic modeling and thorough internal testing. Predictable fees⌛️ Liquity v1 & v2 are the only borrowing solutions where no parties can change what you pay unless you specifically authorize them to. In v2, this autonomy is taken to another level, as you can set your own interest rates. Liquity v2 brings a new, much more flexible and efficient borrowing experience. It will adapt to changing market conditions and can be fine tuned to any individual needs. Want to read things in more depth? Check out our blog post below 👇

Full article: https://t.co/tMzwTKq3C1

The Liquity community has been eagerly requesting a more cost-effective borrowing solution.

Developed by @Nimbora_, the integration provides several benefits compared to borrowing on mainnet:
- Lower gas cost
- No minimum loan (mainnet is $2k)
- Access to a new, growing ecosystem

Additionally, LUSD borrowers will now benefit from @Starknet Spring.

They will not only have close to zero gas fees, but also get $STRK token incentives on top.

Check the detailed guide on how to borrow below.

@Nimbora_ Borrow guide: https://t.co/CHrz6byVyI