How the ETHx Economic Flywheel powers the LSDx ecosystem
LSD Stableswap
LST Stableswap: The ETHx Bridge Base Pool and other pools ensure minimal slippage for LST assets, boosting rewards for ETHx stakers through trading fees.
DeFi Economy
DeFi Economy: ETHx as a pegged ETH currency enhances capital efficiency across the stablecoin and broader DeFi economy.
Gauge Bribe
Gauge Bribe: $ETHx Earn, fuelled by individuals who prioritize liquidity, leverages protocol bribes to establish Protocol Owned Liquidity.
Introduction
LSDx Ecosystem
01
ETHx
ETHx enables users to mint it using ETH, stETH, fraxETH, or rETH, ensuring minimal slippage exchange and yield for LSD holders. It is designed to achieve the most optimal ratio considering liquidity, safety, interest, and DAO involvement.
LSDx SWAP, the first AMM with a mega pool, facilitates low-slippage exchanges of long-tail LST assets, leveraging the Curve Automated Market Maker`s capabilities in the Base Pool. This fully permissionless system is based on an invariant curve.
LSDx UM is a decentralized lending protocol that utilizes ETHx as collateral, bringing greater capital efficiency and utility to LST holders. Within this framework, $ETHx operates as an LST ETH-pegged stablecoin, while $UM is an interest-bearing stablecoin pegged to the US dollar.
esLSD holders will receive an airdrop and also contribute voting weight for proposals and gauge weight voting, enhancing liquidity for a wide range of LSD assets through the tokenomic flywheel design.