Liquity, founded in 2020, is based in Switzerland and operates in the Crypto, Financial Services, and Lending and Investments sectors. The company has positioned itself as a leader in decentralized finance with its innovative borrowing protocol. The platform lets users draw interest-free credit using ETH as collateral and issues loans in LUSD, its USD-pegged stablecoin. A distinctive feature is the low minimum collateral ratio of just 110%.
Liquity boasts a governance-free and immutable operational model, emphasizing decentralization. Revenue is generated through fees, which are entirely funneled to $LQTY stakers, aligning incentives with its community.
The company secured a $6.00M Series A investment on 29 March 2021, attracting high-profile investors such as Pantera Capital and Alameda Research. This strategic backing underscores investor confidence in Liquity's potential to disrupt traditional lending through decentralized finance.