1/ Besides a lending & borrowing protocol, Anchor is apparently “traditional bank”, which provides fixed rate of 20% APY in Crypto space.
2/ There are 2 kind of users here:
Lending: Supply UST to Anchor to receive APY.
Borrowing: Supply bLUNA as collateral to get UST.
3/ Let’s dig into the Anchor:
(1): LUNA -> mint bLUNA
(2): bLUNA as collateral -> mint UST
(3): LUNA from (1) will be Stake to receive APY
(4): Yield from (3) will be divided into 2 parts:
(4.1): Distribute 20% to people who deposit UST.
(4.2): The rest will go to Anchor Vault.
The Hackathon began from Mar 31st to May 14th. The winners will have the opportunity to participate in the incubator program, which is funded by @Delphi_Digital and @IDEOVC.