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Equilibrium is a DeFi hub of Polkadot that allows for high leverage in trading and borrowing digital assets. By applying lower collateral requirements and supporting cross-chain transfers, it is significantly improving capital efficiency in DeFi.
Equilibrium combines its native decentralized EQD stablecoin with full-fledged money market and an order book-based DEX.
How Many EQ Tokens Are There in Circulation?
The total supply is 12 billion EQ tokens, fully compatible across every smart-contract enabled blockchain bridged with Polkadot. Further information about EQ tokenomics can be found here https://equilibrium.io/docs/EQ_token_economy.pdf.
Who Are the Founders of Equilibrium?
Alex Melikhov is the founder and CEO of Equilibrium. Alex is an engineer in applied mathematics by training. Before blockchain, he was working on fintech projects.
Equilibrium’s team includes 27 team members who have been working together since 2017. The engineering team is highly experienced in building on various blockchain platforms, from Ethereum to EOSIO and the Substrate framework.
Now the team is developing on Polkadot to obtain true cross-chain interoperability and to turn Equilibrium into a full-fledged DeFi one-stop shop.
Why is Equilibrium unique?
Other than the fact that Equilibrium focuses on cross-chain functionality from the outset, it is the first DeFi conglomerate that is designed to deliver a unique user experience and to end market fragmentation.
Equilibrium is based on a unique and innovative architecture and doesn’t replicate any of existing DeFI concepts and makes the system way more stable. Here are core components that implement this architecture and set Equilibrium apart from other DeFi projects:
EQ is the native utility token that is used for:
Collateral pledge for borrowing stablecoins and crypto assets
This monitors the overall system liquidity in real-time across blockchains, starting from individual users’ multi-asset portfolios and aggregating them to follow overall system solvency. It’s constantly assessing system portfolio volatility, conditions of the bailout liquidity pool that is securing loans in the system, and risk profiles of particular user positions.
Programmatic interest rate
Most DeFi lending applications either follow asset utilization or set interest via governance mechanisms. Equilibrium is the first DeFi project that takes a risk-based approach to borrowing cost assessment that is inherited from traditional finance. Practically it means that borrowers can enjoy flexible interest rates that can be adjusted by providing less volatile collateral or setting higher collateralization levels.
Insurance pools are a proactive solution to bad debt
Most DeFi projects liquidate a debt by way of auctions, but this isn’t as active and reliable a solution as it should be. Equilibrium is solving this inefficiency by using third-party agents called insurers who provide liquidity in advance (called “Insurance Pool”) and earn fees by securing loans in the system. In case of liquidations there are no forced auctions needed as debt obligations are simply transferred from defaulted borrowers to insurers instantly. Insurers can cover them whenever they prefer.
EQD Stablecoin
Equilibrium’s native stablecoin, EQD, is an asset-backed stablecoin, with a 1:1 peg to USD. EQD can be minted against a well-diversified portfolio of assets, thereby greatly reducing a borrower’s collateral risks. EQD’s competitive advantage lies in its built-in strong peg mechanism via three layers of protection: Layer 1: Overcollateralization requirement, Layer 2: Insurance Pool to secure debt positions, Layer 3: Stability fund, backed by Equilibrium Treasury, which acts as liquidity backstops. EQD use cases extend beyond Equilibrium through its extensive connections with other networks via Cross-Consensus Message Format (XCM) in the Polkadot ecosystem.
The live Equilibrium price today is $0.000011 USD with a 24-hour trading volume of $55,647.42 USD. We update our EQ to USD price in real-time. Equilibrium is down 1.87% in the last 24 hours. The current CoinMarketCap ranking is #4008, with a live market cap of not available. The circulating supply is not available and the max. supply is not available.