🧑‍🌾 #RealYield Week Project #1 To kick off the week, we're taking a look at $USDR by @tangibleDAO. $USDR is their real estate backed stablecoin, the first of it's kind. How is yield generated, and is it sustainable? Let's dive in 🕵️‍♂️

What I'll cover in this thread: 1️⃣ Overview 2️⃣ Tokenomics 3️⃣ Yield generation 4️⃣ Personal Conviction Let's begin 🔎

1️⃣ Overview The tangible platform encompasses more than their stablecoin. They are a TNFT marketplace creating redeemable NFTs for physical products. Items range from Wine to houses. There is a simple marketplace fee which provides yield, but that's not the main source ⬇️

$USDRs yield comes from rented properties. (Each property their own TNFT) Properties are fractionalized so retail investors can earn a % of the properties yield. The transparency about fees + yield is a great start. See for yourself ⬇️ https://www.tangible.store/product/0x29613FbD3e695a669C647597CEFd60bA255cc1F8?tokenId=0x0100000000000000000000000000000002&fractionId=0x01

2️⃣ Tokenomics $USDR currently has a tiny Mcap of $10k backed by: • Real Estate (45%) • $DAI (22%) • $DAI / $USDR LP (20%) • $TNGBL (5%) $USDR can be minted through $DAI, $TNGBL and $USDC It's a USD-pegged stablecoin aiming to provide a store of value through property

The main way $USDR is minted is through $DAI, a popular decentralized stablecoin @MakerDAO. By having a mix of real estate, other stablecoins and their own volatile assets, you have a safer peg for your own stablecoin.

3️⃣ Yield Generation So how is yield generated through $USDR? To become eligible for yield, users must stake their $USDR in return for uUSDR. Yield is distributed daily, so USDR can be staked or unstaked instantly. (No lockup)

Yield rewards are based on the collateralisation ratio. The aim of @tangibleDAO is for $USDR to be over-collateralised This means: Backing > $USDR Market cap Remember: Stablecoins marketcap is the same as it's circulating supply $USDR on-chain 👇 https://polygonscan.com/token/0x9008740cef60ad6ac6b89986fb2200d3faf12c7a

$USDR planned yield is: • 4.5% (Static) • 8.5 % Property yield Their team have stated that 4.5% won't gain traction, so they will subsidize yield % through $TNGBL until $500m - $1bn mcap. Personally, I don't agree with this ↓ https://docs.tangible.store/usdr/yield-derivation

As a crypto investor, you shouldn't expect high yields for the first 1-5 years. However, $TNGBL has it's own utility + revenue stream, which makes it a great choice. As property TNFTs increase, internal subsidization will decrease. The aim: Get collateralisation above 130%

Why? After 130%, any increase is instantly added to the daily rebase, ultimately benefiting the $USDR staker. Over collateralisation means: • Instant redemptions • Higher yield • Sustainable protocol

4️⃣ Personal Conviction I love the current yield narrative we are in, but locking up capital for 1-5 years is tough. $USDRs no lockup is a huge plus. One thing I'd love to see them do is: Create a 'litepaper' in layman terms. For people to invest, they MUST understand

@tangibleDAO has a multitude of planned yield strategies including: ♦️ $USDR Bonds 🔸 NFT Marketplace fees ♦️ Fractionalized rental income For an upcoming real yield protocol, it's important that all yield methods are objectively sound Otherwise you might just be the yield

@tangibleDAO and $USDR is just getting started! Here are accounts you should be following to keep up to date on $USDR & #RealYield @tangibleDAO @robertdtyoung @thedefiedge @milesdeutscher @CosmosHOSS @TraderDefi @landxfinance @Ceazor7 @thedailydegenhq @CryptoBlooom