Holders often face a dilemma: they are optimistic about the long-term prospects of certain assets and want to hold onto them, but they urgently need liquid funds to seize new opportunities. What should they do?

There is an interesting idea worth considering: exchanging existing assets for on-chain stablecoins through staking. This way, you can lock in promising coins while also obtaining flexible funds. In fact, there are already many protocols doing this.

The core mechanism of this type of protocol is actually not complex— you deposit assets, and the system issues corresponding synthetic dollars to you. The key lies in the range of collateral it supports. Some only recognize top coins, but more advanced solutions have opened up the pledge entry for ordinary tokens and even tokenized real-world assets. This greatly expands the choice available to users.

How is security guaranteed? Over-collateralization is standard. For every 100 stablecoins issued, it may require 150 or more assets to support it. All pledged positions are also publicly available on the blockchain, and anyone can verify them. This level of transparency is very attractive to users.

Ecological construction is also being promoted. Through integration with other DeFi platforms, the usage scenarios of synthetic stablecoins are expanding—allowing participation in liquidity mining, hedging trades, or simply serving as a payment method. The more uses there are, the more apparent the value of this mechanism.

From a practical application perspective, the most popular are still those long-term coin holders. They can release a portion of their liquidity to buy the dip or participate in new projects without disrupting their long-term allocation. This flexibility breaks the traditional binary choice of "either holding coins or selling."

From another perspective, this reflects a mature direction of the DeFi ecosystem: to make the functions of assets more multidimensional, rather than either/or. An asset can retain its appreciation potential while also generating cash flow income. As more and more users experience the convenience of this model, similar mechanism designs will influence more products. This is probably a microcosm of the evolution of on-chain finance.