Lien (LIEN)

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(Redirected from Lien Finance)

TypeETH Derivative and stablecoin
Total supply1.000.000


  • Aka Lien Finance or Lien Protocol
  • The Lien protocol is a protocol for creating Options and Stablecoins from ETH.
  • From EthHub #108 (6-4-2020):

"The Lien protocol allows anyone to create an ETH derivative in a simple, elegant way. The innovative features of this protocol include providing a secure derivatives market with no liquidation involved and enabling a fully decentralized stable coin designed to function without over-collateralization."




Token allocation

  • From their blog (28-8-2020):

50% Devs, 38% Community funds, 10% pre-sale and 2% for sale on FairSwap.


  • From their blog (28-8-2020):

"A utility token that rewards the token holders with a rebate on the Lien protocol and FairSwap usage fees. The Lien protocol charges a fee when users mint the iDOL stable coin (0.2%) and when they exchange assets using FairSwap (0.3% — variable). Fees are collected in ETH or iDOL and are then distributed proportionally to holders of the Lien token as discounts/rebates every 28 days.

100% of Lien Protocol fees and 20% of FairSwap fees collected are attributed to Lien Token holders (80% goes to the liquidity providers).

A snapshot is taken every 28 days starting from August 8, UTC 13:31:50 (the fees will become redeemable immediately after the snapshot). Fees that are left unredeemed for 48 weeks will be forfeited and included in the next fee allocation pool."

Token Details


"iDOL is a stablecoin backed by ethereum derivatives. Fully decentralized. No over-collateralization."


How it works

"The basic idea works a little like this:

  1. Anyone can deposit 1 ETH inside Lien, and they get back two tokens. One is called a Solid Bond Token (SBT) and the other is called a Liquid Bond Token (LBT)
  2. The Solid Bond Token is meant to be a very low price of ETH which you can assume will be the lowest (big assumption, yes I know)
  3. The Liquid Bond Token is meant to be the remaining value of that ETH which is speculative and tracks the price of ETH less the value of the SBT
  4. A new stable coin can be minted by depositing the SBT
  5. On maturity of the bond, LBT holders will be paid out the amount of the LBT
  6. Users can hold SBT, LBT or both

LBTs can be leveraged in unique ways to create interesting derivatives/options and don’t require margin calls since if the price drops holders don’t have access to any ETH."



Liquidity Mining

Layer Two

Different Implementations


Other Details

Privacy Method being used


Oracle Method being used

Their Other Projects


  • From their blog (4-9-2020):

"Is a uniswap-inspired DEX with built in front-running prevention, combining the ideas of frequent batch auctioning with AMMs. It also has Dynamic Fee Pricing based on volatility."



Self Funding Mechanism



  • Can be found [Insert link here].




Projects that use or built on it


Coin Distribution

Pros and Cons



"The native stablecoin of Lien is called iDOL and relies on being backed by SBTs. However, at maturity of these bonds SBTs are destroyed and redeemed. This causes a problem where SBTs with different maturity dates will be forced to resolve their positions. Lien solves this through aggregating all SBTs inside a single contract and requiring users to extend or renew SBTs. This parts seems a bit shaky to me and I’d need to know more about it.

In the case that ETH falls below the SBT value, the price of IDOL fluctuates. I spoke to Lien and their response to this is that their coin is more like an “Investment Trust model” rather than an ultra stable stable coin. If you want hard redemption guarantees USDC is what they would recommend you hold instead although it comes with centralisation risks."

Team, Funding, Partnerships, etc.


  • Full team can be found [here].

"The protocol is developed by a group of anonymous developers, making it highly resilient against government control."