Uncap USD(USDU)

Stablecoin Information

Uncap USD (USDU) is a fully decentralized, Bitcoin-backed synthetic dollar built on Starknet. It is hard-pegged to USD and overcollateralized by on-chain Bitcoin, enabling users to mint a censorship-resistant stable asset while retaining full custody and verifiability of the underlying collateral.

Category:crypto-backed

Minting and Redemption

Users can mint USDU by depositing Bitcoin as collateral into the Uncap protocol. USDU maintains its $1 peg through direct redemptions, allowing anyone to redeem 1 USDU for $1 worth of Bitcoin at any time. Price stability is enforced via arbitrage incentives, when USDU trades below $1, redemptions reduce supply, and when it trades above $1, new USDU can be minted, ensuring a stable peg without centralized control or algorithmic intervention.

Audits:No