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Introduction

What Is GUSD

GUSD is a synthetic US dollar backed by a diversified basket of underlying stablecoins. It serves as the primary user-facing token within the Generic Protocol ecosystem.

GUSD generates yield from underlying collateral strategies deployed across various DeFi protocols. This yield is distributed to chains and dapps based on their GUSD holdings, which they then use as incentives for their users. This model provides a sustainable revenue stream for ecosystem participants.

GUSD is a whitelabeled version of the protocol's core share token, GenericUnit, which represents a claim against the protocol's collateral basket.

How To Get It

To mint GUSD, users need to deposit supported stablecoins (USDC, USDT) into a GenericVault on Ethereum mainnet. Upon deposit, users receive GenericUnit, which is then wrapped into GUSD at a 1:1 ratio.

This process is facilitated by the Depositor contract in the Periphery module, which handles asset deposits, share minting, and GUSD wrapping seamlessly.

GenericVaults are standard ERC4626 vaults with one exception: they are not ERC20 tokens themselves; instead, they implement ERC7575 Multi-Asset Vaults standard and use GenericUnit as a shared share token.

The collateral assets deposited into the vaults are deployed into yield-generating lending strategies such as Morpho, Aave, and Sky.

How To Redeem It

To redeem GUSD for the underlying collateral, users first unwrap their GUSD back into GenericUnit at a 1:1 ratio. They can then redeem GenericUnit from the vault, receiving their share of the underlying stablecoins.

The Depositor contract also facilitates the redemption process by handling the unwrapping and redemption in a single transaction.

Multi-Chain Support

GUSD is natively multichain asset. Users can seamlessly bridge GUSD across supported chains via Generic BridgeCoordinator.

When bridging to periphery chains, the GUSD representation is minted on the destination chain, while the main chain GUSD is locked in the bridge contract.

The underlying collateral always remains on the main chain (Ethereum).