{"document_id":"BLC-STUDY-0088","slug":"liquity","title":"Liquity: Decentralized Borrowing","authors":"Robert Lauko and Rick Pardoe","year":2021,"date_label":"2021","publisher":"Robert Lauko and Rick Pardoe","paper_type":"Design paper","category":"Credit and stable value","topics":["Credit and stable value"],"source_url":"https://github.com/liquity/dev/blob/main/papers/Liquity-Whitepaper.pdf","source_label":"Liquity whitepaper","legacy_pdf_path":null,"sha256":null,"sha256_note":"No hash is published. This build does not store those PDF bytes, so a checksum would be invented. Where a legacy path exists, it points at the Internet Archive copy of the old library.","version":"Source cited by the 2021 study. The study is the reading. This page does not add a second essay.","doi":null,"rights_status":"Official external source only","source_status":"Official source","use_status":"Metadata and commentary only. The reading is the study page.","licence":null,"licence_label":"No licence recorded. Rights status under review.","full_text":null,"full_text_reason":"Full text is not published on this page. Public availability is not a licence to republish a document. Blockchain Lab has not recorded a licence that permits an HTML transcription, a training set, or a retrieval corpus of the paper. Text on this page is Blockchain Lab's own wording, or a pointer to a study that is also Blockchain Lab's wording.","editorial_line":"Borrow a stable-value token against ether, with a one-time fee instead of an interest rate. Troves are liquidated into a stability pool. Redemptions let the token be swapped for the collateral of the weakest trove. The paper does not promise a peg.","canonical_url":"https://blockchainlab.com/whitepaper/liquity","record_url":"https://blockchainlab.com/research/corpus/papers/liquity","study_url":"https://blockchainlab.com/whitepaper/liquity","last_reviewed":"2026-10-01","last_checked":"2026-10-01","relationships":[{"rel":"Canonical reading","label":"Liquity study","href":"/whitepaper/liquity"},{"rel":"Related paper","label":"Maker","href":"/whitepaper/maker-dai"},{"rel":"Related paper","label":"Terra","href":"/whitepaper/terra-money"},{"rel":"Related paper","label":"Aave","href":"/whitepaper/aave"}]}