Usual Official
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Introducing bUSD0 and rt-bUSD0
The DAO governance has successfully approved UIP-12, marking the completion of an important upgrade to the model previously known as USD0++. This change is part of the broader product suite redesign and focuses on improving how locked USD0 functions by separating the lock itself from the right to exit. While the underlying concept remains the same and the rights relating to already minted bUSD0 are unchanged, the structure around it has been refined to remove limitations that existed in the earlier model.
The first change is a naming update: USD0++ is now bUSD0. This reflects its role as the bonded and locked version of USD0 and aligns the naming convention with the new suite. USD0 remains the stablecoin, while bUSD0 is the locked form that earns USUAL rewards. Alongside this rename, a new asset enters the system—rt-bUSD0—which represents the right to exit early.
This new mechanism applies only to future minted bUSD0 and aims to recreate TVL. On the primary market, users can choose the "flexible" option by minting the rt-bUSD0 token alongside their bUSD0. Alternatively, they can select the "bonded" option, which allows them to sell their rt-bUSD0 at mint and accumulate more bUSD0.
Locking one USD0 now produces one bUSD0 and one rt-bUSD0. The bUSD0 remains locked and continues to earn rewards. It automatically converts back to USD0 at maturity—even without the redemption token. The rt-bUSD0 carries no yield and no governance rights. It exists solely to enable early exit at par. To redeem before maturity, users must burn one bUSD0 and one rt-bUSD0 to receive one USD0.
Users who want to maintain early exit ability can hold it. Those who prefer longer-duration exposure can sell it and increase their bUSD0 position. This separation allows new TVL to form even when bUSD0 trades below par on the secondary market. It also creates a natural market for liquidity preference- users who value liquidity can acquire rt-bUSD0, while those who prefer duration can capture the associated premium.
In summary, UIP-12 renames USD0++ to bUSD0 and introduces rt-bUSD0, separating the lock from the exit right. This allows early redemption to occur at par instead of relying solely on the price floor. With community approval, this new structure is now in effect in Usual dAPP.
The first change is a naming update: USD0++ is now bUSD0. This reflects its role as the bonded and locked version of USD0 and aligns the naming convention with the new suite. USD0 remains the stablecoin, while bUSD0 is the locked form that earns USUAL rewards. Alongside this rename, a new asset enters the system—rt-bUSD0—which represents the right to exit early.
This new mechanism applies only to future minted bUSD0 and aims to recreate TVL. On the primary market, users can choose the "flexible" option by minting the rt-bUSD0 token alongside their bUSD0. Alternatively, they can select the "bonded" option, which allows them to sell their rt-bUSD0 at mint and accumulate more bUSD0.
Locking one USD0 now produces one bUSD0 and one rt-bUSD0. The bUSD0 remains locked and continues to earn rewards. It automatically converts back to USD0 at maturity—even without the redemption token. The rt-bUSD0 carries no yield and no governance rights. It exists solely to enable early exit at par. To redeem before maturity, users must burn one bUSD0 and one rt-bUSD0 to receive one USD0.
Users who want to maintain early exit ability can hold it. Those who prefer longer-duration exposure can sell it and increase their bUSD0 position. This separation allows new TVL to form even when bUSD0 trades below par on the secondary market. It also creates a natural market for liquidity preference- users who value liquidity can acquire rt-bUSD0, while those who prefer duration can capture the associated premium.
In summary, UIP-12 renames USD0++ to bUSD0 and introduces rt-bUSD0, separating the lock from the exit right. This allows early redemption to occur at par instead of relying solely on the price floor. With community approval, this new structure is now in effect in Usual dAPP.
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