What Liquity is

Liquity (LQTY) is a token issued on Ethereum, currently ranked 451st by market capitalization among the assets we track. Liquity is an ecosystem token: it runs as a token on an existing smart-contract chain rather than operating its own base layer. Its data doesn't slot it into a clear sector beyond the network it's deployed on, so its specifics come from the project itself.

Liquity (LQTY) is a decentralized borrowing protocol that allows users to obtain interest-free loans by depositing Ethereum as collateral. It aims to provide a scalable and efficient stablecoin solution, enabling users to access liquidity without the need for traditional financial intermediaries.

How to approach Liquity

Liquity sits on top of an established chain, so the base-layer security is a given; the open question is real adoption. Market data and primary sources beat assumptions here.

LQTY is not mined; it is issued as a token rather than secured by its own mining or staking layer.

Background & fundamentals

Liquity is issued as a token on Ethereum rather than running its own base-layer blockchain. Liquity first went live in 2021, giving it roughly 5 years of on-chain price history to draw on. Liquity operates under a semi-centralized structure, which concentrates protocol decisions in an identifiable issuer or foundation.

CoinPaprika classifies the project's development status as "Working product". In sector terms it is most often filed under Ethereum (ETH) Token (ERC-20) and Arbitrum Ecosystem.

Where Liquity sits in the market

With LQTY near $0.1805, Liquity carries a market capitalization of $17.65M. Around $3.12M changes hands across exchanges in a typical 24-hour window. That is a turnover of about 17.71% of the float — elevated, often a sign of narrative-driven trading.

Almost the entire LQTY supply is already in circulation (~100.0% of the 100M cap), so future dilution is effectively off the table. LQTY remains -99% beneath its all-time high of $16.17, the kind of gap that historically takes a full cycle or a fresh catalyst to close.

What the price history shows

Across timeframes, LQTY shows 24-hour -0.67%, 7-day -3.53%, 30-day -19.85%, 1-year -74.17%. LQTY is currently trading near the bottom of its 365-day range (around the 2nd percentile of recent closes).

Volatility profile

Recent action puts Liquity in the Low-volatility band — it has been relatively stable, with moves typical of large-cap, mature assets. Over the last 30 days the move totals -19.85%, a useful input for stop placement and position sizing.

How to evaluate Liquity

A grounded read on LQTY comes down to three questions:

  • Liquidity — how deep and reliable trading in LQTY actually is, since thin books amplify both moves.
  • Supply dynamics — circulating versus maximum supply and the dilution that implies.
  • Primary sources — what the project itself documents, because standardized sector data on LQTY is limited.

This page pulls live market data, on-chain stats where available, exchange-by-exchange volume, and our forecast model into one view so you can work through those questions in a single place. None of it is investment advice — it is a structured starting point for your own research.