Usual Finance is a nascent yet promising stablecoin protocol built on the Ethereum network. Launched in mid-July 2024, the platform rapidly achieved a Total Value Locked (TVL) of $130 million within its first month. Usual aims to provide a secure and transparent stablecoin, USD0, backed by US Treasury Bills (T-bills) and repo (repurchasing agreement) assets, allowing users to generate yields through staking and participation in its ecosystem. While the platform’s native token, USUAL, is yet to launch, a reward point system is already in place for early adopters. Notably, Binance Launchpool is scheduled to list USUAL on November 15, 2024.
Table Content:
The Usual Finance Platform Interface.
Usual Finance: Product Suite and Functionality
Usual Finance’s operational model revolves around three core token types: Liquid Deposit Tokens, Liquid Bond Tokens (LBTs), and the USUAL governance token. Understanding the interplay between these components is crucial to grasping the platform’s functionality.
Liquid Deposit Tokens: USD0
Liquid Deposit Tokens refer to Usual’s stablecoin, USD0. Users acquire USD0 by staking assets like USDC and USDT. Backed by short-term assets like US T-bills and repo agreements, USD0 offers high liquidity and low risk, though potentially at the cost of lower interest rates compared to stablecoins backed by longer-term assets. One key repo asset backing USD0 is the USDY token, itself collateralized by US Treasury and bank deposits. Users can provide liquidity using USDY to earn trading fees when others mint USD0.
Liquid Bond Tokens (LBTs): Amplifying Yield
LBTs allow users to stake USD0 and receive USD0++ tokens at a 1:1 ratio. Holding LBTs enables participation in DeFi activities, such as providing liquidity on Curve Finance. Even without active utilization, LBT holders passively earn yield derived from the underlying RWA (Real-World Assets) backing USD0, including US T-bills and repo agreements. Crucially, LBT rewards are paid in USUAL tokens, strategically linking LBT utility to the governance token and incentivizing participation.
The Liquid Bond Token (LBT) Model within Usual Finance.
USUAL: Governance and Decentralization
USUAL, the governance token, empowers holders to participate in platform governance and voting, fostering decentralization. Uniquely, USUAL is primarily earned through LBT rewards, promoting a meritocratic distribution model that favors active platform contributors. While not yet launched, the team has indicated that 90% of the total USUAL supply will be allocated to the community, with the remaining 10% designated for project contributors.
mô hình hoạt động của usualThe Operational Model of Usual Finance showcasing the interplay between its core components.
USUAL Tokenomics and Distribution
USUAL Key Metrics:
- Token Name: Usual
- Ticker: USAL
- Blockchain: Ethereum
- Total Supply: 4,000,000,000 USUAL
USUAL Token Allocation:
- Community Incentive: 64.5%
- Initial Airdrop: 8.5%
- Binance Launchpool: 7.5%
- DAO & Ecosystem: 7.5%
- Investor & Advisor: 5.68%
- Team: 4.32%
- Liquidity: 2%
USUAL Token Allocation Breakdown.
Team, Investors, and Partners
Usual Finance boasts a team with diverse experience in finance, technology, and even politics. Co-founder and COO Hugo Sallé de Chou previously founded the tech startup Pumpkin, later acquired by French bank Crédit Mutuel Arkea. CEO Pierre Person brings experience from French politics and organizations like Les Jeunes avec Macro and Renaissance, even serving as a member of the Paris National Assembly.
The Usual Finance Team.
In April 2024, Usual secured $7 million in a Strategic funding round led by IOSG Ventures and Kraken Ventures, with participation from prominent funds like GSR Market LTD, Mantle, and StarkWare. Strategic partners include Bail Security, Balancer, and Curve Finance, solidifying Usual’s position within the DeFi ecosystem. Similar projects in the stablecoin landscape include Raft, a decentralized lending protocol on Ethereum, and MakerDAO, renowned for its DAI stablecoin.
