I know, I know. Mirror is not the newest kid on the DeFi block anymore (looking at you 1inch and The Graph – enjoy your 15 minutes of fame :). However, the protocol has recently announced some exciting developments and partnerships that I think are Daily-worthy (and may have gone unnoticed among all that happened the last few weeks). For the uninitiated, Mirror is a synthetic assets protocol built on top of the Terra blockchain. Upon its launch, it gained notoriety and generated excitement as it’s the first of its kind to offer on-chain price exposure to US stocks. Under the hood, though, there’s much more to this protocol. In this piece, I’ll explore the present of Mirror and dive into some recent developments that shed some light on what the future of the protocol might look like. If you’re already aware of how the protocol works you can skip the first sections and jump directly to the “Governance: More Assets, Please” section.

How It Works

There are two main pieces to the protocol: 1) The mechanics that underpin the creation, liquidation and pricing of synthetic assets; and 2) The MIR token, which is the native token of the protocol.

Let’s explore each of these parts:

  • Creation/Minting: To mint synthetic assets (called mAssets in Mirror) a user must lock up at least 150% of the value of the mAssets in Terra stablecoins or other mAssets as collateral. The assets locked up as collateral are wha

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