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    Anchor Protocol (ANC): 7 April Price Digest

    Anchor price analysis.

    Launched by Terraform Labs on March 17, 2021, the Anchor Protocol is a lending protocol, which operates within the Terra ecosystem and is used for borrowing UST stablecoins as collateral for delegated assets, as well as receiving annual income on a deposit in UST stablecoin with an interest rate. Those who invest their UST (in other words, make a deposit), provide their funds for use and receive a reward in the form of an interest rate. 

    ANC is the protocol's native and governing token. At the time of writing, the price of the coin is $3.30. Over the last 24 hours, the value of the asset has increased by 10.70%.

    ANC price growth chart

    The increase in the price is, however, not surprising: the protocol has been a huge success. Its 19.5% APY yield attracted the attention of decentralized finance enthusiasts, even though, in March, users voted to revise interest rates on a monthly basis. To begin with, the project will hold monthly rate adjustments, meaning once a month the protocol will adjust the rate of return in accordance with the state of the reserve.

    As of April 7, Anchor has $15.45b locked up, making it the largest DeFi protocol in terms of TVL in the Terra ecosystem and the fourth largest cross-blockchain protocol.

    ANC price changes

    Largely thanks to Anchor, in December 2021, the Terra protocol took second place in TVL, succeeded only by Ethereum.

    The content of this article is for informational purposes only and should not be construed as investment advice. We ask you to do your research. This text is not a guide to action. The author's opinion may not coincide with the opinion of CoinJoy.

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