Usual USD (USD0)
Usual is a decentralized platform focused on issuing fiat-backed stablecoins, providing stability, security, and decentralized governance in the cryptocurrency space. The main stablecoin, USD0, is supported by real-world assets, aiming to offer a stable value for users in volatile markets. Usual's governance model involves redistributing ownership and decision-making among holders of the governance token, USUAL.
Overview
Usual's approach emphasizes stability and decentralization, catering to the demand for stablecoin solutions. By employing a governance structure that delegates control among USUAL token holders, Usual aligns with decentralized principles and ensures community-driven transparency. This model allows token holders to engage in decisions concerning stablecoin issuance, risk management, collateral, and development strategies.
| Ticker | USD0 |
| Category | Stablecoins |
| Website | https://usual.money |
| Contract Addresses | |
|---|---|
| ethereum | 0x73...f5 Copied! |
| arbitrum-one | 0x35...50Copied! |
Technology
Usual operates on a blockchain infrastructure utilizing decentralized ledger technology to ensure transparency, security, and immutability. The distributed ledger uses a consensus mechanism with network participants to verify transactions and maintain data integrity.
Key technological elements include:
- Smart contracts: Usual uses self-executing smart contracts to enforce agreements without intermediaries, enhancing accuracy and efficiency.
- Scalability: The infrastructure accommodates high transaction volumes through techniques like sharding or Layer 2 protocols.
- Privacy and transparency: Transactions are visible on Usual's blockchain, while user identities remain pseudonymous.
The governance model allows USUAL token holders to influence protocol development, contributing to ecosystem resilience and adaptability.
Use cases
Usual aims to bridge traditional and decentralized finance by providing a fiat-backed stablecoin for value stability in the cryptocurrency market. USD0 has potential applications in:
- DeFi and peer-to-peer transactions: USD0 serves as a stable medium of exchange and store of value within the cryptocurrency ecosystem.
- Supply chain and healthcare: Usual's blockchain technology can enhance transparency in supply chains and improve secure data management in healthcare.
- Smart contract automation: In fields like insurance and supply chain settlement, smart contracts enable efficient, automated transactions.
Development
Usual Labs launched USD0 with a focus on decentralization in fiat-backed stablecoins. Following a $7 million funding round led by Kraken Ventures and IOSG Ventures, Usual continued its development in infrastructure decentralization and added features like T-Bill and infinite yield for USD0.
In 2024, Usual participated in major blockchain events such as the European Blockchain Convention, Paris Blockchain Week, and Consensus by CoinDesk, engaging with professionals and presenting advancements in stablecoin technology and DeFi integration.
USD0 and USD0++
USD0 is the first Liquid Deposit Token (LDT) by Usual Protocol, functioning as a stablecoin backed 1:1 by real-world assets with short maturities. It offers continuous redeemability and transparency in reserves, differentiating it from traditional stablecoins.
Key features of USD0 include:
- Reserve transparency: Real-time accessible reserves and avoidance of fractional reserve practices.
- Collateral security: Fully backed by U.S. Treasury Bills and repos.
- Unified liquidity: Consolidates liquidity across various deposits.
USD0++ is an enhanced liquid T-bill bond, secured by principal locked in USD0 for four years. It offers rewards in USUAL tokens and is designed for low-risk yield with potential additional returns.
Key characteristics of USD0++ include:
- Principal security: The principal remains immobilized within the protocol.
- Interest rate stability: Ensures a yield linked to the rates of underlying assets.
- Secondary market liquidity: Tradeable on the secondary market.
- DeFi composability and integration: Compatible with various DeFi protocols.
- Governance and revenue distribution: Offers governance and revenue-sharing benefits through USUAL tokens.
USD0++ serves as a DeFi asset balancing liquidity flexibility with stable yields.
Governance
The USUAL token is integral to Usual’s decentralized governance, allowing holders to vote on policies, risk management, and liquidity decisions. It facilitates community-driven revenue redistribution, aligning incentives with protocol objectives.
Airdrop
Usual Labs launched the Pills Campaign airdrop ahead of the USUAL token launch. Pills are pre-launch points determining USUAL token allocation at the Token Generation Event, representing 7.5% of the initial supply. Points can be earned through activities like providing liquidity, holding USD0++, interacting with partner protocols, and referrals.
This initiative engages early participants by rewarding contributions during the bootstrapping phase. The campaign operates on the mainnet and platforms like Galxe, with tasks such as participating in liquidity pools and community activities. The airdrop is expected in Q4 2024, after the campaign ends in mid-November, aiming to distribute governance and decision-making powers among early supporters.