Liquity — Weekly Wrap Up #20

Welcome to the Weekly Wrap Up, a weekly series where we go over all of the highlights within the Liquity ecosystem. This issue covers the week of 11/15–11/21.

What is Liquity? Liquity is a decentralized borrowing protocol that allows you to draw 0% interest loans against Ether used as collateral. Learn more.

System Overview

Despite last week’s market turbulence, Liquity users minted over 120M LUSD and pushed LUSD’s total supply to a six month high of 860M!

Last week’s spike in LUSD supply could be due to an increase in buy side demand from two new integrations: Fei Protocol’s Balancer auction to acquire 100M LUSD and the Synthetix LUSD/sUSD wrapper. At time of writing, both of these integrations have attracted a combined 64M LUSD — adding even more diversity to LUSD’s utilization chart. More details below.

In the last Weekly Wrap Up, we touched on the borrowing fee reaching its ceiling of 5%. Good news: the peg is restored, redemptions have slowed, and the fee has returned back to ~0.5%. Happy borrowing!

Integrations

Synthetix’s LUSD/sUSD wrapper contract is now live, which means LUSD can be used to mint sUSD on Optimism. Guide here.
Fei Protocol’s proposal to acquire $100M LUSD through a Balancer auction passed. Balancer Pool here.
DeFi Saver overhauled their Loan Shifter, making it easier for their users to move loans between Liquity and other supported protocols. More info here.
We posted a proposal to add an LUSD market on Compound. Read and discuss here.

Content

On Thursday, Nov. 11, members from Visor Finance joined us on Liquity Live for a discussion about Uniswap V3, their Hypervisor product, the LQTY-ETH Hypervisor, and more. Watch it here.
On Monday, Nov. 15, our Head of Growth, Kolten, joined the Agora Podcast to discuss all things Liquity and OlympusDAO. Listen here.
Joey, Founder of Fei Protocol, tweeted a thread on our plans to innovate the Liquity Fuse Pool on Rari Capital. Thread here.

Liquity Resources:

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