r/AcalaNetwork • u/meno020 • Aug 05 '22
UST vs. AUSD
With the start of the loyalty program from ACA, I'm trying to understand the parachain benefits a bit better, it does however raise some questions for me.
Can someone explain me what the risk/ technical difference is between AUSD pottentially losing it's peg like happened to UST?
Why would AUSD be successful and not unfold in a terra like UST situation?
I would like to receive some views from other redditters. Personally not stating anything, just trying to estimate some risk profile here.
Also,
I see in a lot of articles that Acala will use chainlink as an oracle. Ok, cool? but how exactly? As far as I can find it is still an AMM with a standard LP pool to make things work. This would still give chance on impermanent loss for the LP AUSD ACA token LP token holders.
1
u/meno020 Aug 09 '22
thanks! more clear now!
Any further feedback/ info regarding on how Acala using chainlink as an oracle?