THORChain

THORChain is a decentralized liquidity protocol that enables users to exchange a wide range of cryptocurrency assets, including Bitcoin and Ethereum, without losing custody of their assets. It operates across multiple blockchain networks, allowing users to swap one asset for another in a permissionless, order-book-less manner. The key feature of THORChain is its ability to facilitate native asset settlement, meaning users can directly exchange one cryptocurrency for another, without the need for wrapped or pegged versions of the assets. This is achieved through a combination of technologies, including one-way state pegs, a state machine, the Bifröst Signer Module, and a Threshold Signature Scheme (TSS) protocol. Another unique aspect of THORChain is its approach to mitigating impermanent loss for liquidity providers. The protocol uses a slip-based fee structure to help ensure that liquidity stays where it is needed. Additionally, THORChain offers single-sided liquidity provision through its "Savers" feature, allowing users to earn yield on their Layer 1 assets without the risk of impermanent loss. The native utility token of the THORChain platform is RUNE, which is used as the base currency in the ecosystem. RUNE is also used for platform governance and security, as nodes must commit a minimum amount of RUNE to participate in the consensus process.