A decentralized stablecoin protocol, leveraging the liquidity and stability of lending markets
Supply USDT or USDC to Jupiter on Solana, and borrow reUSD! This is re—hippo—thecation for USDT & USDC!
SupplyHow it works
Boost your USDT and USDC yields
Hippodity allows you to lend your USDT or USDC stablecoins through Jupiter as you would normally while borrowing reUSD stablecoins using those lending positions as collateral at very attractive rates!
Make your USDT or USDC work up to 20 times as hard!
Maximized yield with minimal risk
Earn the same yield you would by lending directly on Jupiter, and borrow reUSD to use in other yield opportunities, while earning more RSUP rewards. With minimal volatility-related risk because you’re borrowing stablecoins against stablecoins!
Collateral types
Deposit either USDT (to be lent in the Jupiter market of your choice), or USDC (to be lent in the Jupiter market of your choice) as collateral.
Attractive borrowing rates
Borrowing rates for reUSD are calculated to always be attractive. Rates are the higher of half the market’s lending rate or 2%.
Insurance pool for safety
Hippodity’s Insurance Pool is a safety layer that keeps the protocol running smoothly. It serves two purposes:
- It’s a pool of funds used to liquidate users whose borrow+interest balances grow too much compared to their collateral: this is part of normal protocol operations, and the pool earns a fee everytime it’s used this way.
- It serves as a reserve to safeguard the protocol against unforeseen external risks. Should one of the protocol’s approved lending collaterals encounter difficulties, the pool would repay the outstanding reUSD from that distressed collateral and sell off as much of the distressed collateral as possible to offset the losses, thereby averting bad debt for the protocol.
Because the Insurance Pool protects the protocol and its users from external risks, and because users who choose to deposit reUSD in the Insurance Pool accept sharing these risks, a share of the protocol’s revenue is distributed as reUSD to these users as well as RSUP emissions.
Frequently Asked Questions
How do redemptions help maintain the reUSD peg?
Redemptions are a mechanism that helps place a soft peg on reUSD’s price, to keep it as close to $1 as possible. With Hippodity, redemptions are friendly: since you’re borrowing a stablecoin (reUSD) against another stablecoin (USDT or USDC), seeing your position reduced by a redemption doesn’t really expose you to market movements. Plus redemptions are socialized, meaning their individual impact is further softened.
How to earn RSUP rewards?
There are two actions that earn RSUP rewards: borrowing reUSD, and depositing reUSD into the Insurance Pool.
Revenue distribution
Protocol revenue is distributed to RSUP token stakers; a smaller share is distributed to the Insurance Pool and the protocol’s treasury.