Reserve
Testnet

How Reserve works

Trading fees buy real assets for each token, forever. Here is the whole loop.

Launch a token

The loop

  1. 01

    Launch

    Name a token, seed its pool with USDG and pick up to five assets to back it.

  2. 02

    Trade

    Every buy and sell pays a 1 % pool fee. The pool is locked forever.

  3. 03

    Harvest

    Anyone can collect the fees. A keeper does it daily.

  4. 04

    Buy reserve

    The reserve's share buys the assets that sit furthest below target. It never sells.

Where 100 USDG of fees goes

The protocol takes 20%. The creator picks how much of the rest buys reserve.

Creator keeps nothing (default)
Reserve 80.00 Protocol 20.00
Creator keeps half
Reserve 40.00 Creator 40.00 Protocol 20.00

The reserve share can only go up after launch.

What can back a token

An allowlist of assets with deep pools and a reliable price.

USDG, WETH, tokenized stocks and ETFs. The live list appears here once Reserve is on this network.

The risks

  • Backed is not redeemable

    Nobody can withdraw a reserve, not the creator, not holders, not us. It is backing you can see, not a claim.

  • Prices still move

    A token can trade below or above its backing. Reserve assets rise and fall too.

  • Issuer risk

    Stock tokens depend on their issuer. They are not for US persons.

  • Buys can wait

    If an asset price moves too fast, its buy waits in USDG for the next harvest.

  • Smart contract risk

    The contracts are ownerless and cannot be upgraded. Bugs, if any, cannot be patched.