LUSD is a type of digital money that's worth the same as a regular US dollar. It's made by a group called the Liquity Protocol. They created a system where you can borrow money without paying any interest, using some of your other digital money as collateral. The loans are in LUSD, and you only need to put down a little bit of collateral. The loans are also backed up by a group of other borrowers and a pool of LUSD. The system is safe and fair because it doesn't require any one person or group to control it.