Decentralized USD

DUSD

DUSD is a decentralized stablecoin native to DeFiChain. It is currently undercollateralized as the native DFI blockchain token was used to mint DUSD.

Risk Rating
Watch Out
$1.00
0.06%
Summary
What we like
DUSD is the native stablecoin for the DeFiChain ecosystem that is used as a base pair for several liquidity pools.
What we like less
DUSD has become undercollateralized due to the introduction of a mechanism to mint DUSD by burning DFI.
What it means for you
Offers you an asset that can be paired with other DeFiChain assets to generate trading fees on the internal exchange.
Information
Blockchain
  • DeFiChain
Key Metrics
  • Volume (24H): $6.5K
  • ATH: $1.17 (02/13/2024)
  • ATL: $0.76 (04/07/2024)
Risk Assessment
Watch Out
Asset Strength

DUSD is a low-cap undercollateralized asset. This asset is exposed to the underlying risks of DeFiChain DEX, a protocol rated as Watch out.

DUSD is a stablecoin that often trades more than 100bps off its peg to USD, making it a highly volatile store of value.

Asset Tokenomics

DUSD has an uncapped supply but has inflation control or burn mechanisms in place. DUSD is exposed to death spiral risk as its price depends on another asset, thus creating negative feedback loops.

Asset Volatility

DUSD is a stablecoin that often trades more than 100bps off its peg to , making it a highly volatile store of value.

Dependencies

DeFiChain DEX

Things to know about DUSD

Who invented DUSD?

DUSD is the native stablecoin for the DeFiChain ecosystem. It was introduced by DeFiChain as part of its dTokens feature. Users can mint DUSD by first depositing collateral.

How does DUSD work?

DUSD was originally designed to be an overcollateralized stablecoin backed by its underlying assets. The collateralization ratio was set at 150%. The initial high demand for DUSD saw its price rise and stay consistently above 1 USD. This led to the introduction of an algorithmic mechanism to bring the price of DUSD back to peg. The mechanism was to burn the native blockchain token, DFI, to mint DUSD; this provided users an alternative way to create DUSD rather than buy it overpriced on an exchange.

What can you do with DUSD?

DUSD can be used as a medium of exchange or store of value on DeFiChain. It is also commonly used as the base pair for several liquidity pools on the DeFiChain DEX. If you wanted exposure to other dTokens, then you would need DUSD to swap for those assets.

DUSD Pools
DeFiChain DFI-USD Market Making
7.5%
Yield
$6M
TVL
Risk
F
Chain
DeFiChain
DeFiChain USD Market Making
12.8%
Yield
$1M
TVL
Risk
F
Chain
DeFiChain
DeFiChain USD Market Making
13.9%
Yield
$1M
TVL
Risk
F
Chain
DeFiChain