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Summary of Lumi Finance
- Lumi Finance is a financial derivative in the Lumi ecosystem, focused on sustainable wealth accumulation.
- LUA is the core strategic token, with LUAUSD as the stable coin and ecosystem currency.
- LUA features a dual pricing mechanism: issuing price and floor price, which only increases based on algorithms and calculus.
- LUA can be minted with issuing price or floor price.
- The dual market system, price mitigation, and TWAMM balance mechanisms provide stability and volatility management.
- Staking LUA yields profits in LUAOP and LUAG, and mints LUAUSD.
- LUAUSD liquidity mining and protocol buy-back and burn LUA mechanic are implemented.
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About Lumi Finance: Empowering the Future of Digital Assets
Lumi Finance emerges as a pivotal financial derivative within the Lumi ecosystem, poised to catalyze the aggregation of sustainable wealth creation, thereby fostering a prosperous financial future.
LUA serves as the core strategic token, facilitating the creation of LUAUSD through its innovative floor price collateral mechanism. As the ecosystem’s official currency, LUAUSD operates as a stable coin, providing a reliable medium of exchange within the ecosystem.
LUA boasts a dual pricing mechanism, comprising an issuing price (previously referred to as the market price in V1) and a floor price, which incrementally increases based on sophisticated algorithms and calculus.
Minting LUA at an issuance price or floor price.
The LUA dual market system, complemented by price mitigation and TWAMM balance mechanisms, strikes a delicate balance between stability and volatility, thereby presenting the market with a more diverse array of strategic possibilities.
Through the staking of LUA, LUAUSD is minted, generating concurrent yields in LUAOP and LUAG.
LUA/USD Liquidity Mining.
The protocol incorporates a buy-back and burn mechanism for LUA, analogous to EIP-1559, ensuring a deflationary supply and promoting a healthy token economy.
The AMO Protocol: A Sophisticated Mechanism for Algorithmically Maintaining LUAUSD’s Pegged Value.
The stablecoin (LUAUSD) boasts a multitude of high-quality use cases within the Lumi ecosystem, prominently featuring Lumiterra.