High Liquidity Assets are financial instruments that can be quickly converted into cash without a significant loss in value. These assets are readily tradable in established markets with narrow bid-ask spreads. Examples include cash, marketable securities, and certain cryptocurrencies with substantial trading volume. Their ease of conversion provides financial flexibility.
Context
The classification and availability of high liquidity assets are critical for the stability of digital asset markets, especially within decentralized finance (DeFi) protocols. A key discussion involves distinguishing genuine liquidity from superficial volume across various crypto exchanges. Future market maturity will depend on the sustained presence of deep and efficient trading venues for digital assets.
The new framework mandates 100% high-liquidity reserves and ₩5B minimum capital, setting a high-water mark for global stablecoin legitimacy and operational rigor.
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