110 sats \ 2 replies \ @roach 3 Nov 2022 \ on: Fuji Money AMA bitcoin
Will holders of fUSD have exposure to their loan counterpart, or towards a pool (i.e. are fUSD fungible where they all have equal underlying collateral)?
write
preview
43 sats \ 1 reply \ @fuji_money OP 3 Nov 2022
Good q.
There are two topics:
  1. You do not borrow from a lender, but FUSD is issued on-demand atomically when L-BTC is locked in the smart contract (either Liquid transaction or via Lightning swap)
  2. Yes FUSDs are all equal, therefore fungible to one another.
reply
2 sats \ 0 replies \ @skiff 4 Nov 2022
Can you please explain why FUSD stays pegged to the USD? Will you act as a market maker that always sells the liquidated collatoral (in LBTC) for FUSD at pegged price?
reply