In the world of Decentralized Finance, improving capital utilization has always been a headache. Traditionally, users often need to lock their assets in specific protocols, which, while effective, greatly limits the liquidity of assets. However, the Dolomite protocol is disrupting this conventional thinking, providing users with a completely new way of managing their assets.

The core innovation of Dolomite lies in its unique concept of 'virtual liquidity' and its in-depth understanding of various tokens. This protocol does not simply lock users' assets but instead tracks and evaluates the performance and yield of the deposited tokens in the external world in real-time through an intelligent system.

For example, if a user deposits a token that is currently staked on another platform and generating yield, Dolomite can recognize and calculate this ongoing value. This means that the user's assets are 'active' on the Dolomite platform, allowing them to earn rewards in the original protocol while also being used as collateral for lending or margin trading on Dolomite.

This innovative approach provides users with unprecedented flexibility. Users can perform a series of complex operations on the Dolomite interface, just like assembling LEGO bricks, without needing to transfer assets from one platform to another. This brings great convenience to users holding various LP tokens or complex derivatives such as stETH and GLP.

Dolomite's approach not only improves capital utilization but also maintains asset flexibility, providing DeFi users with a smarter and more efficient way of asset management. This innovation may lead the DeFi industry towards a more flexible and user-friendly direction, creating more value for users.