Earn Dual Yields with Usual Protocol’s Latest Liquidity Pool Launch on Fluid DeFi
Usual Protocol, a leading stablecoin issuer, has recently introduced its USD0/USDC liquidity pool on the Fluid DeFi protocol. This innovative move allows liquidity providers to benefit from dual yields generated through both lending and trading APRs.
Announced on May 19, the integration of the USD0/USDC liquidity pool on Fluid opens up new opportunities for liquidity providers to maximize their earnings. By participating in this pool, users can earn lending APR, trading APR, and USUAL rewards simultaneously.
Fluid’s advanced architecture plays a crucial role in optimizing liquidity ranges and creating more efficient markets for stablecoin trading. This leads to tighter spreads and improved execution for users engaging with the USD0/USDC pair.
One of the standout features of the USD0/USDC pool on Fluid is its relending mechanism. This unique functionality allows deposited liquidity to generate returns from both trading activities and lending protocols, enabling liquidity providers to enjoy dual yield from a single position.
USD0 is a permissionless stablecoin backed by real-world assets, primarily ultra-short maturity U.S. Treasury Bills. Unlike traditional stablecoins like USDC and USDT, USD0 offers greater transparency and security by avoiding reliance on traditional banks and their fractional reserve practices. Users can verify the collateral backing USD0 in real-time, ensuring full transparency.
Usual Protocol, led by CEO Pierre Person, a former French politician and National Assembly member, aims to address the lack of transparency and equitable value distribution in existing stablecoin models. Person emphasizes the importance of sharing profits with the community and empowering token holders to shape the future of the platform.
“Existing stablecoin models lack transparency and equitable value distribution, privatizing their gains and socializing their losses, and going against the ethos that web3 was built on,” explained Person. “Usual is proud to be addressing this void by providing a permissionless, real-asset backed stablecoin that shares our profits directly with the community, and empowers our token holders to guide us to the future that they see fit.”
Usual Protocol introduced USD0 stablecoin and its liquid bond product USD0++ in July last year. USD0++ is a liquid staking token that allows users to lock USD0 for up to four years, earning rewards in USUAL tokens. This token is tradable in secondary markets, offering liquidity and staking benefits.
As of December 2024, Usual’s Total Value Locked (TVL) surpassed $1.4 billion, solidifying its position among the top stablecoins. Currently, USD0’s TVL stands at $646 million, making it the 10th largest stablecoin by market capitalization on CoinMarketCap.