What is Liquity?

Liquity is a decentralised borrowing protocol that allows users to draw 0% interest loans against ETH used as collateral. In addition to the collateral, the loans are secured by a Stability Pool containing LUSD and by fellow borrowers collectively acting as guarantors of last resort. In short, the platform provides loans to individuals in exchange for Ether tokens present with them. Liquity aims to create a more capital efficient and user-friendly way to borrow stablecoins. They are governance-free, ensuring that the protocol remains decentralised. LQTY is the native token of Liquity, holders can stake their tokens on the platform to earn the fees generated by LUSD redemptions and loan issuance.