Electronic Dollar

eUSD

eUSD is a decentralized stablecoin that is fully backed by yield generating stablecoins deposited in Aave and Compound.

Risk Rating
Good
$1.00
0.46%
Summary
What we like
eUSD is a fully-collateralized, community-owned stablecoin issued through Reserve's rToken model and overcollateralized by RSR stakers.
What we like less
eUSD may also be minted through a permissioned bridge connected to the MobileCoin network. Further, RSR overcollateralization may not scale well as the stablecoin's market cap expands.
What it means for you
Allows you to hedge your portfolio in volatile market conditions and also provides an easy way to put USD to work for you in DeFi.
Information
Blockchain
  • Ethereum
Key Metrics
  • Market Cap: $22.7M
  • Fully Diluted Valluation: $22.7M
  • FDV / MC: 1
  • Ranking inside Exponential (among stables): #27
  • Circulating Supply: 22,711,298
  • Total Supply: 22,711,298
  • Volume (24H): $1.2M
  • ATH: $1.13 (04/13/2024)
  • ATL: $0.87 (03/05/2024)
Risk Assessment
Good
Asset Strength

eUSD is a low-cap, fully collateralized asset. This asset depends on two centralized entities for custody services. This asset is exposed to the underlying risks of Reserve, Aave V2, and Compound, which are protocols all rated as Good.

eUSD is a stablecoin that trades within 50bps of its peg to USD, which makes it a less volatile store of value.

Asset Tokenomics

eUSD has an uncapped supply but has inflation control or burn mechanisms in place.

Dependencies

Compound


Aave V2


Reserve

Things to know about eUSD

How is eUSD created?

eUSD is a stablecoin that is fully backed by yield-generating assets and minted through the Reserve protocol. Reserve is a platform that enables anyone to create and use assets (RTokens) that are backed by a community-defined basket of crypto assets. eUSD can be permissionlessly minted and redeemed for its underlying basket of assets. RSR stakers provide further overcollateralization protection for eUSD holders in case of defaults in exchange for all of the yield earned. Governance is conducted on-chain and managed by RSR stakers, which aligns incentives with eUSD holders.

What is eUSD used for?

hyUSD provides users with an alternative fiat currency that is pegged to 1 USD. Reserve has purchased a substantial amount of CRV tokens to incentivize liquidity for its rTokens. Users can earn yield on their eUSD by putting it to work across DeFi.

How is the price of eUSD kept stable?

eUSD is designed to trade at 1 USD as it is fully collateralized by its basket of collateral assets. All yield earned by the underlying collateral is directed towards RSR stakers for providing overcollateralization protection. eUSD maintains its peg through the issuance and redemption mechanisms that are used by arbitragers. For example, when eUSD is trading below $1, an arbitrager will buy eUSD at the discounted price and redeem it for the basket of collateral assets, thereby reducing the supply of eUSD in circulation. When eUSD is trading above $1, arbitragers would take advantage by minting eUSD with the underlying collateral and selling on the open market until the peg has been restored to 1 USD.

eUSD Pools
Yearn USD Market Making
20.4%
Yield
$2M
TVL
Risk
D
Protocol
Yearn V2
Chain
Ethereum