Innovation of Stablecoins in the New Era: Resolv's Tri-Token Model

In the current cryptocurrency market, large funds have made their own choices, creating new opportunities for the small fund market. This cycle presents three major trends: venture capital, opinion leaders, and stablecoins. Among them, opinion leaders can also be regarded as a tokenizable asset.

Venture capital firms are increasingly limited in their choices; they tend to focus on stablecoins and "simple investment" products, and reinvest in projects with issued tokens. These strategies are considered to carry lower risks and provide certain returns.

Recently, a project named Resolv completed a $10 million seed round funding for its on-chain Delta neutral yield stablecoin (YBS), marking the project's first public financing since its establishment in 2023. Compared to the high-profile promotions of similar projects, Resolv has adopted a relatively low-key strategy, but its level of innovation is by no means inferior, primarily reflected in its unique yield model, more on-chain yield sources, and complex Token economics design.

The American Dream of Russian Talents

This financing round is led by a Dutch investment company, with most other participants being American capital. The three founders of Resolv all have technical backgrounds and were educated in Russia. Some believe that this financing may have already been completed, but the announcement was delayed to avoid controversy. Given that the YBS project requires some liquidity to cope with potential risks, this speculation is not without reason.

Compared to other stablecoin projects, Resolv shows a greater embrace of the on-chain ecosystem and competes for market share by offering higher yields.

Innovative Token Economics

Resolv adopts a three-token model, namely the stablecoin USR, the insurance fund and liquidity token RLP, and the governance token $RESOLV. Among them, USR and RLP form a dual-yield token system. Users can mint USR at a 1:1 ratio after depositing USDC/USDT/ETH, and these assets are mainly stored on-chain or on specific platforms to reduce the risk of asset loss caused by hedging in centralized exchanges.

The RLP Token is cleverly designed, primarily used to hedge funds on centralized exchanges. RLP offers a higher theoretical yield, with USR's annualized return between 7% and 10%, while RLP can reach 20% to 30%. However, the actual return has not yet reached these expected values.

More Sources of On-chain Earnings

Resolv actively embraces the on-chain ecosystem, with its revenue sources including the yield from interest-bearing assets and the hedging fees from exchange contracts. Although on-chain yields may be higher than those from centralized exchange hedging, it currently faces the challenge of insufficient liquidity. To address this, RLP, as a leveraged yield Token, aims to maintain a high yield with less capital, suitable for users with a high risk appetite.

Unique Revenue Model

Resolv introduces RLP as an insurance mechanism to reduce reliance on centralized exchanges and specific stablecoins. Theoretically, USR will be fully over-minted by on-chain assets, with part of the collateralized assets used for institutional custody and off-chain hedging. Although this reduces capital efficiency, the design of RLP aims to compensate for this gap.

Future Outlook

As more projects enter the YBS space, competition will become increasingly fierce. Although Resolv currently lags behind some competitors in terms of total locked value and issuance, its innovative model provides users with new options. In a low-interest environment, as long as new projects can offer yields above the benchmark, they have the potential to attract investors.

However, the complex mechanism design has also brought higher risks. Any liquidity Token mechanism may face the dilemma of creating liquidity for the sake of liquidity. In addition, the insurance mechanism of RLP has not yet been tested under extreme market conditions.

For emerging stablecoin projects, experiencing market fluctuations and maintaining stability is an important milestone. Whether Resolv can successfully pass this test will be key to its future development.