Discover and read the best of Twitter Threads about #WrappedBTC

Most recents (1)

The reason @CelsiusNetwork is not at risk is that they are responsible for #crypto commodities not valuations. They provide liquidity to markets in the form of a commodity.

The value of the commodity decreasing doesn’t matter.

1/15
In fact, outside of #Luna and its #UST pair, the underlying commodity #CelsiusNetwork has is still the same.

And the yield it provides is a commodity relationship — not a valuation one.

Thus, users receive a stable amount as yield because the yield contract is stable.

2/15
If I offer you sugar on an exchange and the price goes down on it, I still own my sugar. Someone else may have determined my sugar is worth less — but that’s not the risk at hand.

The commodity itself is intact.

3/15
Read 15 tweets

Related hashtags

Did Thread Reader help you today?

Support us! We are indie developers!


This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3.00/month or $30.00/year) and get exclusive features!

Become Premium

Too expensive? Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal Become our Patreon

Thank you for your support!