category.cdp_stablecoins.label

What collateral are you posting, and how close to the liquidation ratio will you sit?

Will you mainly hold CDP stablecoins, transfer them, or use them inside onchain apps?

Would you rather face an auction, a stability pool, or a redemption queue on a bad day?

Liquity v2: user-set interest rates, ETH and LST collateral. Strongest on cost of the loan and who controls it (9/10): The borrower sets the rate, so no governance body can raise it against an open position — structurally the second-strongest control in this set after Liquity v1's immutable fee. The catch is disclosed in the same docs: the upfront fee equals seven days of average interest, and rate changes inside seven days trigger a… Weakest on observed peg behaviour under stress (4/10): Trading at $1.001326 with only $30,002,187 circulating (DefiLlama, 2026-08-04). Protocol TVL is $70,035,327 against an all-time high of $180,025,138 on 2025-10-07 — a 61% decline in under ten months. The peg holds, but on a very short operating history and a market too small to absorb a large exit. Published price: Liquity docs: interest is 'determined by the rate you set yourself.' There is no protocol-set rate. An upfront borrowing fee is charged equal to seven days' worth of the average interest rate, and adjusting your rate within seven days incurs an additional…

Best for: Cost of the loan and who controls it — 9/10

Curve's CDP using LLAMMA continuous soft liquidation instead of auctions. Strongest on liquidation mechanics you actually bear (9/10): LLAMMA converts collateral to crvUSD continuously across bands rather than closing the position. Curve's own docs: hard liquidation only occurs when 'the health of the loan is below 0%', and soft liquidation is explicitly 'not a hard-liquidation where your loan is immediately closed'. On-chain 2026-08-04 the nine mint… Weakest on observed peg behaviour under stress (6/10): Trading at $0.999075 with $226,200,217 circulating (DefiLlama, 2026-08-04) — within 10bps of peg. But protocol TVL is $72,731,204 against an all-time high of $347,592,713 on 2024-03-09, a 79% decline, so exit depth is materially thinner than the peg alone suggests. Published price: Live borrow rate read on-chain 2026-08-04 from the LLAMMA AMM of each Controller (ControllerFactory 0xC9332fdCB1C491Dcc683bAe86Fe3cb70360738BC): wstETH 2.06% APR, WBTC 2.06% APR, WETH 2.03% APR (per-second rate 6.454e-10, 6.460e-10, 6.386e-10 respectively…

Best for: Liquidation mechanics you actually bear — 9/10

Immutable ETH-only CDP, 110% minimum ratio, zero recurring interest. Strongest on cost of the loan and who controls it (10/10): Zero recurring interest — the contract has no stability-fee accrual at all — and a one-time getBorrowingRate() of 0.50% verified on-chain. The parameters are immutable with no governance module, so unlike Sky (9.25–15.00%, executive-spell adjustable) or GHO (committee-adjustable 500bps per 2 days), the cost quoted at… Weakest on observed peg behaviour under stress (5/10): Trading at $1.005003 on 2026-08-04 — the largest deviation from $1 in this set, and it is a premium, not a discount. The 0.50% redemption rate creates a hard $1 floor that protects borrowers but leaves buyers systematically overpaying. Liquity v1 TVL is $207,885,854 against an all-time high of $4,523,319,569 on… Published price: Read on-chain 2026-08-04 from TroveManager 0xA39739EF8b0231DbFA0DcdA07d7e29faAbCf4bb2: getBorrowingRate() = 0.005 (0.50% one-time), getRedemptionRate() = 0.005 (0.50%). There is no recurring interest rate function because the protocol charges none. MCR() =…

Best for: Cost of the loan and who controls it — 10/10