#GM! 1/ There have been many amazing #threads about $stETH and $ETH, to complement that we will uncover the basis of #liquidstaking in our latest #visualguide
LP is a vault into which participants deposit and lock their assets in smart contracts to form a market (trading pair) and make it liquid for those wishing to trade in that pair.
An option is a #contract giving the investor the right, but not the obligation, to buy or sell an underlying asset at a specific price on a certain time period. Investors must pay a premium to get the contract.
$UST is algo-stables that the value determined by adjusting the supply algorithmically. To achieve this equilibrium, $LUNA act as stabilizer to maintain $UST peg to $1.
$LUNA is not just act as $UST stabilizer, it is also native token of @terra_money ecosystem similar to $ETH in @ethereum. The growth of Terra ecosystem and mass adoption of $UST will increase value of $LUNA