Since the advent of cryptocurrencies, the idea of a digital asset tied to the value of fiat 1:1 seemed to be a no-brainer. Despite a few regulatory battles, fiat-backed tokens, known as stablecoins, have exploded as a concept.
With time, stablecoins have revolutionized fiat transfers, but some of them remain inaccessible to the average user due to technical barriers and high fees imposed by centralized platforms. Despite their promise of stability, existing stablecoins have suffered from volatility, market manipulation, and a lack of transparency, eroding user confidence.
This year, one stablecoin, Sunami Network’s SUUSD token, has emerged as a solution to most problems associated with stablecoins.
What is SUUSD?
Built with liquidity and passive income in mind, SUUSD is a stablecoin for the everyday user. Unlike many of its competitors, SUUSD holders can earn yield on their tokens without locking them away. This availability means holders can spend SUUSD as they see fit while generating passive income.
Earning through SUUSD demands no special skill. SUUSD handles the entire process. The user’s only job is to deposit their existing stablecoins, such as USDC or DAI, into SUUSD’s 1:1 asset pools. From there, SUUSD will lock up the tokens for 14 days while converting them to the SUUSD token.
How Does SUUSD Generate Yield?
SUUSD brings yield through reinvesting a holder’s assets into other yield-generation platforms, such as Yearn Fi, to provide users with a high annual percentage yield. During this time, users can still trade or use their tokens for other means, capitalizing on SUUSD’s promise of complete liquidity. As a result, they can invest in other DeFi networks and contribute to a healthier crypto ecosystem.
Users retain complete control of their assets, and they can claim yield rewards at any time without withdrawing their stablecoins. They can also convert SUUSD back to their original stablecoins at a 1:1 ratio.
For stability, Sunami Network collateralizes SUUSD through its unique protocol, which ties it to the US dollar. Otherwise, the protocol’s automatic reinvesting into other yield-generation protocols provides it with additional stability. By decentralizing its collateral, SUUSD prevents a single point of failure — solving a problem that other stablecoins failed to anticipate.
In line with their focus on accessibility, a user can connect to the Sunami Network through their Metamask wallet.
Leading the Stablecoin Charge
As with any new technology, the earliest innovators encounter problems that the later ones eventually solve. In this case, Sunami Network is running where coins like Tether have walked, and it’s doing so with an exceptional pledge.
Supporting SUUSD promises additional liquidity for developers and a more accessible experience for everyday crypto holders. By allowing SUUSD holders to earn interest on their holdings without reducing liquidity, Sunami Network fulfills crypto’s original intent: financially empowering the everyday user.
Additionally, SUUSD’s innovative approach to collateralizing stablecoins promises stability while remaining independent from a centralized entity, making it the first truly user-centric stablecoin.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.