2025-12-24 21:20:36

The way on-chain liquidity is obtained is undergoing a transformation. There's an interesting project worth paying attention to — it has built a universal collateral infrastructure that allows various assets to unlock new value on the blockchain.

The core logic is actually simple. You deposit different assets as collateral, whether they are digital tokens or tokenized real-world assets, and the system will generate stable liquidity for you. Specifically, you'll receive USDf — an over-collateralized synthetic USD that can be used directly for trading or other on-chain operations.

What's the coolest part? You don't need to sell your original holdings at all. The assets continue to appreciate in value, while you also have accessible liquidity. This offers much greater flexibility for investors with ideas.

The project's strength also lies in its versatility. In traditional DeFi, the types of collateral are limited, but this system breaks those restrictions. The variety of assets is increasing, and more diverse assets can participate.

There are also many well-known institutions backing this. These partners are working together to promote the maturity and adoption of on-chain financial infrastructure. The ecosystem is continuously expanding, with the team actively onboarding high-quality assets, and in the future, the types of supported collateral and application scenarios will be even richer.

Security is a top priority. The over-collateralization mechanism, combined with smart contract audits, ensures that user assets are always protected. Early participants have already experienced the convenience, and many are actively sharing their user experiences.

Honestly, this approach is quite impressive. It solves a real problem — how to retain the long-term appreciation potential of assets while gaining immediate liquidity. This innovation is user-centric and practically designed.

As more people adopt it, projects like this could become a vital part of the on-chain financial ecosystem. They make the financial system more open and give everyone more control over their assets.

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

9 Likes

Reward
9
6
Repost
Share

Comment

0/400

SillyWhale

· 3h ago

Can you extract liquidity without selling coins? I need to think this logic over again...

View OriginalReply0

CoffeeOnChain

· 3h ago

Not selling the holdings and still being able to leverage liquidity—this idea is indeed brilliant. --- Over-collateralized stablecoins feel a bit like an upgraded version of lending. --- With institutional backing, it's a different story. How far the ecosystem can go still depends on subsequent execution. --- Wait, if this USDf encounters a black swan event, will it blow up... --- The issue with general collateralization is really a pain point; traditional DeFi has frozen out too many people. --- Early entrants have already tasted the benefits. Is entering now considered late? --- Assets continue to appreciate, and there's still cash flow on hand. Logically, there's nothing wrong with that. --- Has the smart contract been audited? These days, security audits have become just marketing buzzwords. --- If the implementation of breaking collateral restrictions really happens, the market potential is still very large. --- Another "well-known institution backing," hearing this every day. In the end, it's still about looking at the data.

View OriginalReply0

quiet_lurker

· 3h ago

The logic of generating stablecoins through collateralization has actually been around for a long time; it's just been made to look more fancy. Not selling holdings to obtain liquidity sounds great, but the liquidation risk is really significant. I've heard the phrase "endorsed by well-known institutions" many times, but let's just look at the on-chain data to speak for itself.

View OriginalReply0

ser_ngmi

· 3h ago

Not selling the holdings can still lock in liquidity, this idea is indeed brilliant. --- Over-collateralized stablecoins, I need to review the audit report for safety. --- Another general collateral project, depends on how much the real TVL of the ecosystem can reach. --- Early adopters are all praising it, but what about risk warnings? Hold on. --- It's pretty good that well-known institutions are backing it, but I'm just worried it might turn out to be another story coin. --- Having a variety of collateral types is interesting, but whether the liquidity depth is sufficient is the key. --- Wanting to earn appreciation while locking in liquidity—does such a thing really exist? --- The infrastructure for on-chain finance is mature, I've heard that several times. --- What are the prospects for the USDf token? How does it compare to MIM and USDA? --- So, is this a stablecoin project or a lending protocol? The description seems a bit vague.

View OriginalReply0

SatoshiSherpa

· 3h ago

Not selling holdings can still trap liquidity? I need to ponder this logic carefully... --- Over-collateralization generating stablecoins, sounds like yet another cycle of innovation, right? --- This familiar rhetoric from well-known institutions has become tiresome; the key is whether they can survive in the end. --- Wait, what exactly is the difference between this and Maker, Aave... what are the details? --- Diversification of asset types sounds good, but who will manage the risk exposure? --- Early participants are already sharing their insights? Feels like this copy has a bit too much flavor.

View OriginalReply0

DogeBachelor

· 3h ago

Not selling holdings can still trap liquidity; this playstyle is indeed awesome. To be truly stable, over-collateralization must be reliable. It's another institutional endorsement... the old routine, haha. Wait, how does USDf maintain price stability? I'm a bit curious. Feels like a backdoor for big players; can retail investors really use it? On-chain finance is getting more competitive; we have to keep up. The more collateral types there are, the higher the risk, right? Early participation offers a good experience, but that doesn't mean there won't be any爆雷 later.

View OriginalReply0