Davos Protocol

Davos Protocol is an innovative collateralized debt position (CDP) protocol that tackles the limitations of traditional CDPs in the DeFi landscape. It achieves this by implementing an unbiased monetary policy and fair borrowing rates, ensuring user protection and fostering widespread DeFi adoption. Notably, users retain the upside of their collateral, preserving their potential returns. Leveraging the power of Liquid Staking Tokens (LSTs), Davos Protocol optimizes their utility as collateral, unlocking the creation of DUSD, an inflation-proof omnichain stablecoin. Through the CDP mechanism, users tap into the potential of their staked assets, amplifying their returns. Additionally, users can stake and farm DUSD, compounding their interest and maximizing their capital. This integration of LSTs exemplifies the concept of DeFi composability, empowering users to harness the modular nature of the ecosystem and magnify their yield.