Optional Joining of SDP

Because of the principle of the sdp trading mode, users who generate any synthetic asset and join the debt pool will automatically become a long holder of the asset (the principle will be explained later). That is, even if the user generates a stable currency, it will automatically become a long position in the stablecoin, causing losses when other assets rise. We call this loss "crafting loss". This is like another form of impermanent loss in liquidity mining. To avoid this loss, we innovatively provide users with the option of whether they want to join the debt pool. So a user can choose not to join the debt pool if he/she does not want to take the risk. In this case, users can essentially use this system as a lending platform, and the system will charge interest on the assets users minted. The interest rate will be determined by community governance later.

In order to encourage users to join the debt pool as much as possible, users who join the debt pool will earn a larger proportion of the system rewards. This will be explained in detail in the token economics section.