Aegis
  • Get Started
    • Introduction
    • Modern Money Problems
    • Aegis Solution
    • How It Works?
  • Overview
    • Profit Generation Mechanism
    • Profit Distribution Mechanism
    • Peg Stabilization Mechanism
    • Off-exchange settlement
    • Real-Time Transparency
    • Aegis Insurance Fund
    • Mint Security Layer
    • Scalability
    • Liquidity
    • Security
  • Risks
    • Counterparty Risks
    • Stabilization Risks
    • Operational Risks
    • Investment Risks
    • Regulatory Risks
  • Aegis FAQ
    • How can I buy YUSD?
    • How can I get my earned YUSD?
  • How can i stake YUSD?
  • Tokens
    • YUSD Stablecoin
    • sYUSD Stablecoin
    • Aegis Governance (AEG)
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  1. Overview

Liquidity

Liquidity is a cornerstone of the Aegis YUSD stablecoin, ensuring stability and efficient market operations. The YUSD ecosystem benefits from the significant liquidity of the BTC COINM futures market, which provides a deep pool of capital to support trading activities. This liquidity is crucial for minimizing price slippage and ensuring smooth transactions, even during periods of high market volatility.

The BTC COINM market, primarily traded on major exchanges like Binance and Bybit, offers substantial open interest, currently standing at approximately $7 billion. This level of liquidity ensures that YUSD can scale effectively, meeting the demands of users without facing liquidity shortages. The high liquidity also supports the stability of the stablecoin, as it enables easy conversion of collateral and swift execution of arbitrage opportunities, which helps maintain the 1:1 peg to the US dollar.

Aegis YUSD reliance on BTC COINM futures, rather than traditional stablecoins, further enhances its liquidity profile. By not depending on other stablecoins, YUSD avoids risks associated with stablecoin depegging and third-party failures, ensuring a more secure and reliable liquidity pool. The system is designed to operate seamlessly, with instant liquidity provisions and no lock-up periods, allowing users to access their funds and profits every 8 hours.

Aegis YUSD liquidity is robust and well-supported by the BTC COINM futures market. This strong liquidity foundation ensures the stablecoin's stability, scalability, and reliability, providing confidence to users and investors in the system's long-term viability.

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Last updated 5 months ago