Anchor Protocol, a lending and borrowing platform on the Terra blockchain, introduces ANC as its native utility and governance token. This token allows users to engage in governance, lending, borrowing, and earning interest on digital assets through an over-collateralized model. Anchor Protocol aims to maintain stability by being pegged to global economic growth.
What is the Stability Mechanism?
Anchor employs a dual-token system and positions itself as a stable alternative to fiat-pegged stablecoins. Its stability is maintained irrespective of fiat currency strength, market fluctuations, or economic downturns. By leveraging global economic growth, Anchor aims to offer a steady financial solution for a wide range of users, including individuals, businesses, and governments.
How Does Anchor Generate Yields?
The decentralized savings protocol offers low-volatility yields on Terra stablecoin deposits. Supported by staking rewards from major Proof-of-Stake blockchains, Anchor is designed to be more stable than traditional money market interest rates. The community behind Anchor believes it has the potential to set a new benchmark for interest rates in the cryptocurrency sector.
Deposited stablecoins are represented by Anchor Terra (aTerra) tokens, which accrue interest and can be utilized along with the initial deposit. This setup allows users to collect interest simply by holding these tokens. Anchor provides depositors with high, stable yields backed by collateral rewards, instant withdrawals, and principal protection through the liquidation of at-risk loans.
User Benefits
Key benefits for users include:
- High, stable yields on deposits backed by collateral rewards
- Instant withdrawals through pooled credit of stablecoin deposits
- Principal protection via loan liquidation for under-collateralized loans
How to Buy ANC Coin?
ANC Coin can be purchased quickly and securely on Binance, the world’s largest cryptocurrency trading platform by volume. To buy ANC Coin, users must first register on Binance and transfer fiat currency. Once fiat is transferred, ANC can be purchased in trading pairs like BUSD, BTC, BNB, or USDT.
Additionally, Binance allows users to place orders at lower values than the current market price through the Limit tab, letting them set desired amounts and prices for purchase.