Now that Rune lending has reopened there Is a lot of interest in it. All loans have 0% interest, no liquidations, and no expiration.
We saw similar mechanism at Luna, but this at Thorchain is much more complex and in my opinion much safer that things won't go wrong.
Opening new loans creates a deflationary effect on the $RUNE asset, whereas closing loans creates an inflationary effect on $RUNE.If the value of $RUNE relative to $BTC is the same when the loan is opened and closed, there is no net inflationary effect on $RUNE (same amount burned as minted minus the swap fee). However, if the value of the collateral asset increases relative to $RUNE between the time the loan is opened and closed, there will be net inflation of $RUNE supply.
I see huge potential in Thorchain so we will keep big % of rune in our strategy!
YesPeace
Have faith man, I joined this strategy a few months ago I have +50%