What is THORChain (RUNE) ?

THORChain RUNE Official Logo
THORChain RUNE Official Logo

RUNE is the native token of the THORChain network. Available through Binance Chain, the token is a BEP2 token.The RUNE token is used in all liquidity pools and is bonded by nodes. All RUNE tokens are at a 1:1 ratio to asset value and this allows for pools to be linked. RUNE is also the rewards for pools, with the equivalent of 1/3rd of the System Income providing continuous liquidity incentives. The RUNE token serves two key purposes in the THORChain network. Firstly, the token is found in all THORChain liquidity pools, to create an intermediary asset for use across all of them, greasing the wheels for transfers. Secondly, it acts as an incentive and penalty mechanism, helping ensure that nodes are honest in their behavior and their reporting of transactions on different chains. THORChain describes itself as a decentralized liquidity network that allows users to swap assets instantly at manipulation-resistant market prices. Swaps are done through permission less cross-chain liquidity pools that allow users to stake their assets to earn trading fees. THORChain takes a little while to understand the basics and the nodes that run the network. However, once you get the hang of the exchange then THORChain has a number of benefits.

Original author – Erik Voorhees
Initial release – June 2019
Development status – Active
Website – thorchain.org

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