What is Usual (USUAL)?

Deep Dive

1. Purpose & Value Proposition

Usual Protocol aims to create a more transparent and equitable stablecoin system. It addresses the centralized profit capture of traditional stablecoin issuers by building a decentralized protocol where the community governs key parameters and receives the majority of the revenue generated from the underlying collateral. Its value proposition is a permissionless, asset-backed stablecoin that shares its earnings directly with token holders.

2. Technology & Core Products

The protocol's primary stablecoin, USD0, is designed to be 1:1 collateralized by tokenized real-world assets (RWAs), specifically short-term U.S. Treasury securities from providers like BlackRock and Ondo Finance. This backing aims for stability and transparency, with reserves subject to on-chain and off-chain verification. The ecosystem has expanded to include EUR0 (a euro-denominated stablecoin), liquid staking via USD0++, and yield-bearing savings tokens (sUSD0, sEUR0).

3. Tokenomics & Governance

The USUAL token is central to the protocol's decentralized governance. Holders can vote on proposals to guide the infrastructure, treasury, and ecosystem. Uniquely, the tokenomics are directly tied to protocol revenue. A significant portion of the revenue—reportedly up to 70%—is used to buy back USUAL tokens from the market, while the remaining ~30% is distributed weekly to users who lock their USUAL for set periods, incentivizing long-term alignment.

Conclusion

Fundamentally, Usual is a community-owned DeFi protocol that merges the stability of real-world asset collateral with a governance model that redistributes value to its participants. How will its focus on transparent, yield-sharing stablecoins influence the next evolution of decentralized finance?