Liquity Dashboard walkthrough

DeFi Saver dashboard for Liquity allows users to interact with the Liquity decentralized finance protocol. Liquity doesn’t run its own frontend in order to remain decentralized and relies on frontend providers like the one we offer here at DeFi Saver.

A quick overview of possible things that you can do in Liquity:

  • Borrow LUSD against ETH by opening a Trove

  • Secure Liquity by depositing LUSD to the Stability Pool in exchange for rewards

  • Stake LQTY to earn the fee revenue paid for borrowing or redeeming LUSD

  • Redeem 1 LUSD for 1 USD worth of ETH when the LUSD peg falls below $1

When creating a Trove, you'll need to

  1. Input the amount of ETH you're depositing as collateral

  2. Choose the amount of LUSD you want to take out as debt

You can also switch the the "Leverage" tab if you want to create a leveraged position.

After creating your position, you can utilise basic interactions like Borrow LUSD, Pay back LUSD, Withdraw ETH and also our more complex signature features Boost & Repay, Automation options, and more.

An overview of the features available:

  • Boost: increase leverage in 1tx by borrowing, swapping collateral asset and depositing to your position

  • Repay: deleverage in 1tx by taking out ETH to buy LUSD and paying back the debt

  • Supply: add more ETH to your collateral amount

  • Withdraw: withdraw ETH from your collateral amount

  • Borrow: generate more LUSD from your CDP

  • Pay Back: pay back the LUSD debt of your CDP

An important note: Liquity Protocol allows users to borrow at a minimum collateral ratio of 110%, which corresponds to a loan-to-value ratio of 90.91%.

The dashboard will preview useful information that include: the TCR percentage (your total collaterlization ratio), the current price of your collateral, liquidation price, LUSD price, the borrow fee percentage, debt in front and recovery mode.

Debt in front value is especially important since it shows you the overall value of debt in LUSD of all Troves that have a lower collateralization ratio than your specific position. Since the mechanism of Liquity is specific as it is, your high coll. ratio might not show you the real risk and the possibility of being redeemed.

Next to the overall Manage button you will see our Automate tab, Notify, Bond and History.

  • Automate includes different automation options for liquidation protection and loss minimization, as well as options for locking in gains and automating yield earning

  • Notify is our notification system that allows you to set up Ratio Monitors which can send out an alarm for specific triggers (example: a certain threshold ratio is reached and your position becomes risky).

  • History segment will show you a list of your previous actions executed

The latest Automation Option (Automated Redemption Protection) is for all of our Liquity users. It provides a redemption protection mechanism that produces an affectively smaller risk of getting redeemed. This strategy is based off repaying the Trove position by a predefined percentage, when a determined threshold of X LUSD amount is reached and triggered. But you will be able to utilise also other Automation options for Liquity, that include:

  1. Automated leverage management

  2. Stop Loss

  3. Take Profit

  4. Trailing Stop

  5. Bonds Liquidation Protection

  6. Savings protection (Supply)

  7. Savings protection (Payback)

While utilising our dashboard you can also easily access the “Staking” button in the top bar, where you’ll be able to either stake your LUSD or LQTY and earn rewards.

While next to it, is the “CLOSE” button which allows you to fully clear your debt and withdraw remaining assets.

Currently, the Liquity dashboard is only available on Mainnet.

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