Where is the UST deposited on Anchor Protocol being used for?

[JonathanSmith]

Look at my suggestion:

Change Protocol Workings

On anchor, people use bLUNA, bETH, bATOM, or wasAVAX for collateral, all of these assets generate revenue from their staking. So when someone uses them as collateral, the protocol takes that yield and sells it for UST, then if that money can support current needs we give that money to depositors and put extra into yield reserve. The problem with this is that in good months when revenue from depositors makes enough money, profit gets put into yield reserve and that yield reserve doesn’t do anyth…