Prisma Finance’s LSD Stablecoin Protocol Launches ULTRA Stablecoin, Enables LST Issuance
Posted: Feb 15, 2024 2:38 AM Updated: Feb 15, 2024 2:38 AM
Correction and fact check date: February 15, 2024, 2:38 AM
briefly
PrismaLRT, developed by Prisma Finance, launched its new stablecoin Ultra, allowing users to utilize LST for minting.
PrismaLRT, the Liquid Stake Derivatives (LSD) stablecoin protocol developed by Prisma Finance, has introduced ULTRA, a new stablecoin that allows users to utilize Liquid Stake Tokens (LST) for minting. According to the announcement, PrismaLRT plans to initially support weETH on Ether.fi and gradually integrate additional assets.
PrismaLRT is designed with custom parameters and features to fully unlock Liquid Restacking Token (LRT) functionality. The new protocol will be integrated into the Prisma user interface, providing a seamless lending experience for LST or LRT users.
According to Prisma Finance, the ULTRA stablecoin is designed to respond appropriately to changes in the dynamic and emerging nature of LRT, providing improved scalability without negatively impacting the experience of native LST users and mkUSD holders.
Issuing ULTRA with LRT allows depositors to preserve all rewards, points, and potential profits associated with LRT ownership while simultaneously converting their capital into stablecoins. This gives Ultra the flexibility to explore additional opportunities and returns within the Prisma Finance platform or across the broader decentralized finance (DeFi) landscape.
To accelerate the launch of Ultra, PrismaLRT has partnered with RedStone Oracles to accelerate LRT integration and expand collateral options for Prisma Finance users.
The new entity will be governed by the Prisma DAO, which will empower holders of pegged stablecoins to actively shape the future of the protocol through a voting mechanism. Governance participants will play a key role in directing emissions towards PrismaLRT and participating in the decision-making process by voting on proposals submitted to the DAO.
Prisma Finance explores the LRT space with PrismaLRT.
Prisma Finance is a DeFi protocol designed to leverage the power of Ethereum liquid staking tokens. Within the Ethereum network, Prisma Finance accepts various forms of liquid collateral, including wstETH from Lido, rETH from Rocketpool, cbETH from Coinbase, and sfrxETH from Frax. The project has received joint approval from the founders of several projects such as Curve Finance, Convex Finance, Swell Network, and CoingeckoFinance.
Outlining further plans, the project team plans to focus further efforts on PrismaLRT primarily on expanding the LRT ecosystem and diversifying collateral options while managing associated risks. Prisma Finance also plans to foster collaborations with leading protocols in the space, allowing PrismaLRT to explore new market opportunities.
Prisma Finance’s introduction of the ULTRA stablecoin positions the project as a dynamic force in the evolving LSD landscape, fostering growth and adaptability.
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Alisa is a reporter for Metaverse Post. She focuses on everything related to investing, AI, metaverse, and Web3. Alisa holds a degree in Art Business and her expertise lies in the fields of art and technology. She developed a passion for journalism through her work with VCs, notable cryptocurrency projects, and science writing. You can contact us at (email protected).
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alice davidson
Alisa is a reporter for Metaverse Post. She focuses on everything related to investing, AI, metaverse, and Web3. Alisa holds a degree in Art Business and her expertise lies in the fields of art and technology. She developed a passion for journalism through her work with VCs, notable cryptocurrency projects, and science writing. You can contact us at (email protected).
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