Dear CoinEx users,
To provide you with more trading options, after rigorous reviews, CoinEx will list LQTY and support deposit and withdrawal & Automated Market Making (AMM) on June 23, 2021 (UTC). And its trading pair LQTY/USDT will be available on the same day.
1. Deposit: 02:00 June 23 (UTC)
2. Withdrawal: 02:00 June 23 (UTC)
3. Trading pair: LQTY/USDT;
4. Opening method: Call Auction
a. Call Auction
02:00—09:50 June 23, 2021 (UTC)
Orders can be placed and cancelled
09:50-10:00 June 23, 2021 (UTC)
Orders can be placed but cannot be cancelled
10:00 June 23, 2021 (UTC)
Liquity is a decentralized borrowing protocol that allows users to draw interest-free loans against Ether used as collateral. Loans are paid out in LUSD (a USD pegged stablecoin) and need to maintain a minimum collateral ratio of 110%. 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.
Liquity as a protocol is non-custodial, immutable, and governance-free. LUSD is the USD-pegged stablecoin used to pay out loans on the Liquity protocol. At any time it can be redeemed against the underlying collateral at face value. Liquity offers the best borrowing conditions on the market with the main benefits being:
- 0% interest rate
- A collateral ratio of just 110%
- Governance free - all operations are algorithmic and fully automated
- Directly redeemable - LUSD can be redeemed at face value for the underlying collateral, always and at any time
- Censorship resistant - the protocol is controlled by nobody
LQTY is the secondary token issued by Liquity. It captures the fee revenue that is generated by the system and incentivizes early adopters and frontends. The total LQTY supply is capped at 100,000,000 tokens.
What is Automated Market Making (AMM)?
Automated market making (AMM) can calculate the buying and selling price according to the formula, so as to provide continuous quotation for the market. CoinEx combines AMM with the order book, which means the liquidity pool will be automatically converted into the order book. With the "constant product market maker formula" algorithm in AMM, no matter how large the order book is or how small the liquidity pool is, firm liquidity provision to the market can be guaranteed. Learn more
Fees and Profit
Market supporting automated market making is an AMM market. Compared with normal market, AMM market adopts an independent fees system. The fees for both marker and taker is 0.3%. VIP and market makers will not enjoy any special fees, and using CET for fees deduction is unavailable. All users are qualified to apply for market makers, and 50% of the market's transaction fees will be rewarded to liquidity providers.
Characteristics of AMM
1. Bonus obtainable from automated market making
User’s provided liquidity will be injected into the pool for automated market making. 50% of the market's transaction fees will be rewarded to liquidity providers in terms of the corresponding pool proportion.
2. Daily bonus can be cumulatively withdrawn
The transaction fee bonus will be calculated once a day and automatically credited into the user's Market Making Account before 4:00 (UTC) the next day. The user can obtain all the accumulated fee bonus after removing liquidity.
3. Free access, no charge required
Assets between Spot Account and Market Making Account can be transferred in real time by adding and removing liquidity. Each user in a single market can increase liquidity twice a day, and no fees will be charged during the operation.
The assets in the Market Making Account will be injected Into the liquidity pool for automated market making. When the price fluctuates, there will be impermanent losses, and the amount of the two assets will change when the liquidity is removed. More details about impermanent losses
June 22, 2021
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