Understanding the Technology Behind Decentralized Exchanges (4 minute read)
The DeFi industry will grow over the next few years so it is important for investors and financial advisors to understand how the technology works. This article provides a deeper look into the technology behind decentralized exchanges. It covers liquidity pools, automated market makers, and yield farming.
As $LUNA continues to outperform, its critics also become louder (5 minute read)
Until recently, UST was an algorithmic stablecoin and was backed only by LUNA. Debt-based stablecoins are more resilient as they always have external collateral backing them, but their growth is restricted by demand for credit rather than demand for the actual stablecoin. There are risks with algorithmic stablecoins, but UST has thrived. Demand for the stablecoin has brought in investors to provide collateral. More information about the risks of holding UST and LUNA are available in the thread.
Terra 101: The Stablecoin solution and the future of DeFi (3 minute read)
Terra is a blockchain that lets users create decentralized and algorithmic stablecoins pegged to fiat currencies. UST is Terra's flagship stablecoin. It adjusts supply based on real-time fluctuations in demand to maintain stability. UST uses LUNA to maintain its peg through an algorithmic incentive mechanism. To mint UST, users must burn an equivalent dollar amount of LUNA tokens. More information about LUNA, Terra, and UST can be found in the thread.