stUSDS is launching very soon, and some key details have just been revealed:
1) It will launch with an APY of 40% that will last until 55m in deposits have accumulated - however, before this initial threshold has been reached, the stUSDS can't be converted back to USDS
2) After the 55m threshold has been reached, the APY will go to 20%, and then it will dynamically adjust until a market equilibrium is reached.
Sky Stakers will also be able to begin borrowing at this point, paying whatever rate stUSDS holders get (later Sky will take a spread)
3) Initially, liquidations of staked SKY are done manually with no automation to reduce risk - this continues until SKY liquidity has improved.
During this time the SKY oracle has an upper limit of 0.04 USD, limiting liquidity
Read the full post:
1.83K
0
The content on this page is provided by third parties. Unless otherwise stated, OKX is not the author of the cited article(s) and does not claim any copyright in the materials. The content is provided for informational purposes only and does not represent the views of OKX. It is not intended to be an endorsement of any kind and should not be considered investment advice or a solicitation to buy or sell digital assets. To the extent generative AI is utilized to provide summaries or other information, such AI generated content may be inaccurate or inconsistent. Please read the linked article for more details and information. OKX is not responsible for content hosted on third party sites. Digital asset holdings, including stablecoins and NFTs, involve a high degree of risk and can fluctuate greatly. You should carefully consider whether trading or holding digital assets is suitable for you in light of your financial condition.