Thread by @ChainDebrief

$LUNA Has Hit Another ATH: Here Are The LUNA Derivatives That You Need To Be Familiar With 👇

1/12 In the past few months, $LUNA has been on quite the run. The most memorable period was during the #crypto market crash on the first weekend of December. While other coins were tanking hard, $LUNA not only survived it but went on to make a new high.

2/12 as #LUNAtics, we know that $LUNA is but the base form of the @terra_money blockchain’s native token. Just like how Eevee, a Pokemon, can evolve into many different versions of itself, LUNA has many other derivations (versions) of itself.

3/12 @anchor_protocol – $bLUNA

Anchor is the grandfather #protocol of the @terra_money blockchain. It is both a savings protocol offering low-volatile yields on $UST and a borrowing and lending platform.

4/12 How it works:

A user first swaps $LUNA to $bLUNA on @terraswap_io, or any other dex, and then provides it as collateral on @anchor_protocol. The user can now borrow up to a maximum of 60% of the value of the collateral in $UST.

5/12 @NexusProtocol – nLUNA

A protocol that offers yield optimization. It currently runs vault strategies that automate Anchor borrowing. Instead of depositing $bLUNA into @anchor_protocol, you can deposit it into Nexus and the protocol will do the rest of the work for you.

6/12 How it works:

The deposited $bLUNA is used to borrow UST at an optimal rate (currently 80% of the max LTV, will be 99% by Q1 22). The borrowed $UST is then deposited into Anchor Earn to earn 19.5% yield.

7/12 However, the yield is used to buy $PSI tokens which are then paid out to the user. While all this is happening, users will receive nLUNA as a receipt of their deposited $bLUNA. nLUNA can be paired with PSI to yield farm on Nexus at a rate of around 120% at present.

8/12 @staderlabs – lunaX

This is a recently launched protocol that is currently still in the Community Farming Event (CFE) phase. #Stader aims to enhance the efficiency of staking $LUNA by auto compounding staking rewards and allowing users to claim all rewards in one click.

9/12 How it works:

A user can obtain lunaX by staking $LUNA on @staderlabs' web app. Since we are still in the CFE phase, the only thing you can do with LUNAx is to farm $SD tokens by pairing it with LUNA on @terraswap_io.

10/12 @prism_protocol - $yLUNA & $pLUNA (launch date TBA)

At its core, Prism aims to break up (refract), LUNA into two distinct components. This will see $LUNA become yLUNA (the yield component) and pLUNA (the principal component).

11/12 How it works:

Users will be able to deposit $LUNA into @prism_protocol which becomes known as a collateral token (CT). The CT is immediately refracted into both $yLUNA and $pLUNA.

12/12 Final Thoughts

At the end of the day, just like how a player can choose what their Eevee will evolve into, the choice of which $LUNA derivative you want to utilize lies in your hands as well.

What will you choose?🤔

Read more about $LUNA Derivatives on: chaindebrief.com/terra-luna-der…