I Like It Stable DAOPrice

(ILIS)

The I Like It Stable DAO is a decentralized organization incorporated in the Marshall Islands, specifically designed to govern and support stable assets within the Radix DLT ecosystem. It is recognized as a fully algorithmic DAO, meaning that governance and operational adjustments, such as interest rates, are managed by smart contracts rather than manual human intervention. Its primary objective is to provide a pocket of stability for users navigating the often volatile cryptocurrency market through decentralized governance.

The DAO currently oversees two primary protocols on the Radix network: the STAB Protocol and the Flux Protocol. The STAB Protocol manages a market-driven stable asset that adjusts through dynamic interest rates. The Flux Protocol is a decentralized borrowing system focused on maintaining a $1 pegged stablecoin known as fUSD. Together, these protocols allow the DAO to offer diverse stability solutions ranging from algorithmic assets to traditional price-pegged coins for the Radix community.

ILIS serves as the native governance token for the ecosystem. Holders of ILIS possess voting rights on protocol proposals and represent formal membership within the DAO. For users looking to participate in the ecosystem, ILIS can be tracked and traded on platforms such as LBank. To interact with the token on the Radix network, users must use a compatible wallet and can identify the asset via its specific resource address: resource_rdx1t4r86qqjtzl8620ahvsxuxaf366s6rf6cpy24psdkmrlkdqvzn47c2.

Unlike traditional stablecoins, STAB uses a dynamic, market-driven interest rate model to balance supply and demand. If supply is too high, interest rates increase to encourage burning the asset; if supply is low, rates decrease to encourage borrowing. These rates can range from -33.33% to +50% per year. A unique feature is the negative interest phase, where a borrower’s debt actually decreases over time while a holder’s balance increases, incentivizing market stability.

Users can borrow stable assets like STAB or fUSD by depositing collateral, such as XRD, into the respective protocols. A critical metric is the Minimum Collateralization Ratio (MCR), which is generally set at 150%. This means the value of the collateral must be at least 1.5 times the value of the borrowed debt. The primary risk is liquidation; if the collateral value drops or the debt value rises beyond the MCR, the collateral may be seized and a penalty applied.

While both protocols are governed by the ILIS DAO, they serve different stability needs. STAB is an algorithmic stable asset that prioritizes market balance through fluctuating interest rates rather than a fixed price. In contrast, the Flux Protocol (fUSD) is inspired by models like Liquity V2 and is designed to maintain a hard $1 peg. This dual approach allows the DAO to offer both a flexible, market-driven asset and a more traditional, predictable price-stable currency.