Lybra Finance is a DeFi protocol that offers the eUSD stablecoin and utilizes the LBR token for governance purposes. It brings stability to the DeFi industry by providing an interest-bearing stablecoin called eUSD, which is over-collateralized and pegged to the US dollar.
By depositing Ethereum (ETH) or staked Ethereum (stETH) as collateral, users can mint eUSD and earn a stable income from the yield generated by the staked assets on this liquid staking derivatives (LSDs) protocol.
Here’s some information about its key components:
eUSD Stablecoin
eUSD is an interest-bearing stablecoin that maintains a 1:1 peg with the US dollar through over-collateralization, liquidation mechanisms, and arbitrage opportunities. Users can mint eUSD by depositing ETH or stETH as collateral and earning stable interest from the staked assets.
LBR Token
The Lybra (LBR) token is an ERC-20 token that serves as the governance token for the Lybra Protocol. LBR holders have decision-making power in managing the protocol and ensuring the stability, transparency, and efficiency of eUSD. The voting weight of LBR token holders is proportional to the amount of LBR tokens staked in the voting contract.
Smart Contract Audit
Lybra Finance has undergone a smart contract audit by SourceHat (formerly Solidity Finance). The audit identified a few low findings, but overall, the platform is considered secure, with proper authorization schemes and no signs of potential vulnerabilities.
Lybra Finance’s High TVL
Lybra Finance has attracted significant value within its protocol, with over $375 million total value locked (TVL) on Ethereum as of July 2023. This metric indicates the amount of assets locked within the protocol, primarily ETH and stETH.
