No fluff, today we will directly demonstrate the star product @Lorenzo Protocol - the USD1+ yield token. Let's see if it really allows us to experience the feeling of 'on-chain BlackRock.'
Step 1: Understand the Product
USD1+ is not just a simple savings account; it is a tokenized money market fund. Your stablecoins are not lent to others but are used by a professional team to invest in low-risk, high-liquidity traditional financial assets.
Step 2: Core Mechanism - 'Net Value Growth'
This is different from most DeFi protocols! When you deposit USDT, you receive sUSD1+. The amount of sUSD1+ in your wallet remains unchanged, but its price (net value) will increase over time.
Traditional model: The quantity of your tokens increases, but the price remains unchanged.
Lorenzo model: The quantity of your tokens remains the same, but each token is worth more!
The benefit of doing this is that your yield is directly reflected in asset appreciation, clear and straightforward. Moreover, sUSD1+ itself is an asset that can be freely traded and used as collateral, with excellent liquidity.
Step three: Potential advantage analysis
Diversification of yield sources: Yield no longer comes solely from on-chain lending but has expanded into the more stable TradFi world.
Seamless compatibility with DeFi: The sUSD1+ you hold can be used in any DEX or lending protocol, ensuring both yield and liquidity.
Extremely low threshold: No complex KYC required, just one wallet to invest in professional financial products from the traditional world.
Overall, Lorenzo Protocol's USD1+ offers us a solid yield option in bear markets, and in bull markets, it is an appreciating asset that can be liquidated at any time. It is redefining what 'on-chain stablecoin financial management' means.
Do you prefer a 'growth in quantity' or a 'growth in net worth' yield model? Let’s see in the comments!
#LorenzoProtocol $BANK #Yield farming #稳定币 
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