Description
LSDx is a decentralized finance (DeFi) ecosystem designed to enhance liquidity and capital efficiency for Liquid Staking Tokens (LSTs). The ecosystem consists of several core components:
- **ETHx**: A token that can be minted using various ETH derivatives (ETH, stETH, fraxETH, rETH) to provide minimal slippage exchange and yield for LSD holders.
- **LSDx SWAP**: An Automated Market Maker (AMM) featuring a mega pool that facilitates low-slippage exchanges for long-tail LST assets, leveraging Curve's technology.
- **LSDx UM**: A decentralized lending protocol that uses ETHx as collateral, allowing users to borrow $UM, an interest-bearing stablecoin pegged to the US dollar.
- **Gauge Pool**: A mechanism where holders of esLSD can vote on proposals and gauge weights to direct liquidity towards various LSD assets, enhancing the ecosystem through a tokenomic flywheel.