Wirex: the crypto card app adds support for Liquid tokens

Wirex has announced that it has added support for Liquid’s LUSD and LQTY tokens: now users of the app with the crypto card will be able to buy, sell, and use Liquid tokens with 50 million merchants in 200 countries.

Wirex: the app with the crypto card and the new support for Liquid LUSD and LQTY tokens

Wirex, the financial app with its crypto card, has announced support for the LUSD and LQTY tokens of Liquity

“Say hello to $LUSD on the Wirex app! Get ready to spend @LiquityProtocol at over 50 million merchants and earn up to 8% Cryptoback™ with your Wirex card.”

In practice, users will now be able to spend their LUSD and LQTY through Wirex at over 50 million merchants in 200 countries.

Not only that, thanks to the use of Wirex’s crypto card, even by using LUSD and LQTY, you will be able to access the crypto back service up to 8%.

In this regard, Pavel Matveev, CEO and co-founder of Wirex, said:

“We are excited to continue expanding our cryptocurrency offering and providing our users with access to innovative projects like Liquity. The integration of LQTY and LUSD into the Wirex app is in line with our commitment to empower users and simplify their cryptocurrency journey.”

Wirex: the app with the crypto card adds Liquity’s DeFi tokens

Wirex has described Liquity, recalling that it is a decentralized lending protocol that allows users to obtain interest-free loans by leveraging Ether as collateral.

Specifically, LUSD is the stablecoin pegged to the US dollar and backed solely by Ethereum, and it is the cryptocurrency used for issuing loans. The minimum required collateral ratio for Liquity loans is 110%.

The protocol has reached an important milestone, marking 1,000 days since the distribution of its smart contracts on the Ethereum mainnet. In these 1000 days, the protocol has issued loans for over $4.7 billion and currently has a TVL of $700 million.

Not only that, Liquity loans are also backed by a Stability Pool containing LUSD and other borrowers who collectively act as lenders of last resort.

LUSD and LQTY are tokens of the DeFi (Decentralized Finance) with the Liquity protocol, which is non-custodial, immutable, and without governance.

The launch of the Dual-Mode crypto card

It was October 2023, when Wirex launched its new Dual-Mode crypto card that combines traditional finance (fiat currencies and stablecoins) with DeFi protocols.

In practice, users can choose whether to use the same Wirex card in “debit” mode, that is, like a normal debit card, or in “credit” mode, and take advantage of Decentralized Finance (or DeFi) protocols.

Specifically, the “credit” functionality has been designed to use cryptocurrencies as collateral, through a collateralized debt position (CDP). This is a way for users to leverage DeFi for decentralized loans, in order to preserve the appreciation of their assets.

On the contrary, the “debit” option favors those users who are more inclined towards the stability of fiat currencies or stablecoins, minimizing volatility.