💵Algorithmic Stablecoin 3.0 — LCASH

LCASH serves as the medium of exchange and the stabilizing hand within the Loop ecosystem. It is backed by a high-reserve basket of crypto stable coins (USDT/USDC) and governed by automatic stabilizers plus a circuit-breaker → linear compensation regime. The goal is not zero volatility, but predictable settlement and redemption under a transparent order. Critically, every LCASH pathway interlocks with LOOP tokenomics: mint/redeem consume Points obtained via LOOP → Points conversion; fees accrue to the Treasury and Tax Pool; parameters and budgets operate under veLOOP governance guardrails. LCASH is a tool—not a bystander.

From 1.0 to 3.0.

• Algorithmic 1.0(purely elastic or seigniorage/bond models) pursued peg-keeping without collateral(rebase, seigniorage shares), but proved vulnerable to expectation reversals and “death spirals.”

• Algorithmic 2.0(hybrid/partially collateralized) improved stability via fractional collateral,PCV, and direct incentives/market-making, yet often relied on manual parameter tuning and lacked countercyclical macro stabilizers and time discipline.

LCASH synthesizes these lessons into a3.0 path: a high share of stable coin reserves (USDT/USDC) plus protocol market-making inventory and policy firepower(Treasury/Tax Pool) as the economic anchor, while encoding Keynesian-style countercyclical logic into the protocol state machine.Behavioral anchors(eligibility & costs),fiscal anchors(pre-funded “rainy-day” buffers), and time anchors(7-day cadence + circuit-breaker/linear compensation) cooperate to close the loop between price → parameters → fiscal response.