# What are Liquid assets? Source URL: https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/what-are-liquid-assets Updated: 2026-04-09T09:37:52.000Z Category: Liquid Network Section: FAQs --- Liquid assets are tokens issued on [the Liquid Network](https://blockstream.com/liquid/). Liquid assets include [Liquid Bitcoin (LBTC)](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/how-does-liquid-bitcoin-lbtc-work) and Issued Assets. While there are subtle differences in the security models for LBTC and Issued Assets, for the most part, all assets on Liquid look and function the same. The [Liquid Network](https://glossary.blockstream.com/liquid-network/) is a sidechain implementation of the [Elements](https://blockstream.com/elements/) [blockchain](https://glossary.blockstream.com/blockchain/) platform, which itself is based on the Bitcoin codebase, so any users familiar with Bitcoin will feel right at home when sending and receiving Liquid assets. ## Liquid Bitcoin (LBTC) [LBTC is special as an asset on Liquid](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/how-does-liquid-bitcoin-lbtc-work) in that it is verifiably backed 1-to-1 with bitcoin (BTC) on the Bitcoin mainchain. LBTC can only be [issued on Liquid through a peg-in](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/what-is-a-liquid-peg-in), which involves sending BTC on the mainchain to a multisig wallet secured by the Liquid Federation. Bitcoin on the mainchain can be [released through a peg-out](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/what-is-a-liquid-peg-out), which involves destroying the LBTC on Liquid and sending an equal quantity of mainchain BTC to a mainchain [address](https://glossary.blockstream.com/address-bitcoin/) owned by a single member of the federation. Aside from its uses in trading, [you also need LBTC to pay for transaction fees](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/how-do-transaction-fees-on-liquid-work) for any asset transfers on the Liquid sidechain. ## Issued Assets Anyone can issue their own tokens on Liquid, known as **Issued Assets**. You can use Issued Assets for various applications, including stablecoins ([e.g. Tether USDT](https://blockstream.com/2019/07/29/en-tether-lands-on-the-liquid-network/)), security tokens, digital collectibles, reward points, and vouchers. Unlike LBTC, any obligations with regards to Issued Assets (e.g. redeemability) are the responsibility of the issuer. Although Liquid verifies and enforces the total number of units issued of each asset, users cannot verify the existence or maintenance of any underlying assets. ## Liquid Asset Features All Liquid assets share the same base features: - **Speed:** Non-variable, one-minute block times, and two-block transaction finality. - **Confidentiality:** Transaction amounts and asset types are [hidden from third parties on the blockchain](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/how-does-liquid-keep-my-transaction-data-confidential). - **Trust-minimized swaps:** Exchange any two Liquid assets without the need for an intermediary using the [Liquid Swap Tool](https://docs.blockstream.com/liquid/swap%5Ftool.html?highlight=liquid%20swap%20tool). - **Bitcoin-style smart contracts:** Support for battle-tested multisig and [timelocks](https://glossary.blockstream.com/timelocks/). ## Issuing New Assets Anyone can [issue a new asset on Liquid](https://docs.blockstream.com/liquid/developer-guide/developer-guide-index.html#issued-assets), although this is recommended for advanced users only. Blockstream Explorer contains a [Liquid Asset Registry](https://blockstream.info/liquid/assets) to refer to. ## Storing Liquid Assets You can store Liquid assets on the [Blockstream app (recommended for most users) and Elements Core](https://helpcenter.dxp-frontend.devserver.app/liquid-network/acquire-lbtc/get-a-liquid-wallet). Navigation: Blockstream Help Center > Liquid Network > What are Liquid assets? ## Related Articles in This Section - [How many confirmations are needed for my Liquid transaction to be secure?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/how-many-confirmations-are-needed-for-my-liquid-transaction-to-be-secure) - [What is the Liquid Network?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/what-is-the-liquid-network) - [What is the Liquid Federation?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/what-is-the-liquid-federation) - [How does Liquid Bitcoin (LBTC) work?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/how-does-liquid-bitcoin-lbtc-work) - [What is a Liquid peg-in?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/what-is-a-liquid-peg-in) - [What is a Liquid peg-out?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/what-is-a-liquid-peg-out) - [What are Liquid assets?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/what-are-liquid-assets) (current) - [How does the Liquid Federation's multisig work?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/how-does-the-liquid-federations-multisig-work) - [How does Liquid keep my transaction data confidential?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/how-does-liquid-keep-my-transaction-data-confidential) - [How do transaction fees on Liquid work?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/how-do-transaction-fees-on-liquid-work) - [What is the transaction capacity of Liquid?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/what-is-the-transaction-capacity-of-liquid) - [Does a Liquid address support all types of assets?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/does-a-liquid-address-support-all-types-of-assets) - [What are the different types of participants in the Liquid Network?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/what-are-the-different-types-of-participants-in-the-liquid-network) - [What is a Liquid Network functionary?](https://helpcenter.dxp-frontend.devserver.app/liquid-network/faqs/what-is-a-liquid-network-functionary)