🧑🌾 #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 ⬇️
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 👇
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 ↓
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