Fluid

Fluid is the next-generation protocol of the team that for a long time built decentralized finance tools under the Instadapp name. In 2024 the team renamed its governance token INST to FLUID; the catalogue ID derives from this former name. FLUID is issued under the Ethereum token standard, while the Fluid protocol runs on networks such as Arbitrum, Base and Polygon in addition to Ethereum.

At the core of the protocol is a liquidity layer from which all products draw on the same pool. Built on this layer are a lending product that pays deposit interest through fTokens, vaults that allow high collateral ratios, and Fluid DEX. What distinguishes Fluid DEX are its smart collateral mechanism, which lets collateral work simultaneously as liquidity on the DEX, and smart debt, under which debt can also be used as liquidity. FLUID holders take part in the protocol's governance; the protocol also has a mechanism that provides for token buybacks funded by its income.

FLUID's performance may depend on deposit and borrowing volume in the protocol, DEX trading volume, the scale of buybacks and the smart contract risks carried by the new-generation collateral mechanisms. The value displayed on the Fluid page on Lzzo.com is DefiLlama's US dollar reference price, and the chart uses this source's historical series.