Protocol
The Big Picture
The protocol in one breath: three moves around one asset, built to feed each other, with a safety net underneath and rules that never change.
One system, three moves
- Borrowing is the foundation: deposit cbBTC, mint gynUSD at up to 90.91% LTV, and keep your Bitcoin the whole time.
- Trading gives those assets a market: a concentrated-liquidity DEX built around cbBTC and gynUSD.
- Earning closes the loop: stake gynUSD in the Stability Pool and get paid out of real borrower interest, not emissions.
None of the lanes requires the others. But they are not standalone products bolted together: they are built to feed each other, one flywheel around one asset.
The loop
- The stablecoin protocol creates gynUSD demand and a captive base of borrowers.
- Borrower interest flows to gynUSD stakers as yield, making the yield layer more attractive.
- The yield layer pulls gynUSD off the open market, tightening supply and supporting the peg.
- The DEX gives gynUSD its deepest venue, routes fees to GYND holders, and keeps cbBTC trading inside the ecosystem.
Diagram
Why it compounds
More borrowing creates more yield. More yield attracts more gynUSD stakers. Deeper liquidity strengthens the peg, and a stronger peg brings in more borrowers. Each pillar makes the others more valuable than any of them would be alone, so liquidity compounds rather than sitting idle.
What keeps it honest
Liquidations keep every gynUSD fully backed. Redemptions anchor it to a dollar of BTC value, open to anyone at any time. The Stability Pool absorbs liquidated debt and gets paid first, with 70% of borrower interest. And every one of those rules is immutable: no admin keys, no upgrades, no goalposts that move mid-loan.
Where the value goes
Everything the protocol earns follows one immutable split: 70% to Stability Pool stakers as real yield, 30% to the treasury, with GYND staking joining the stream once the fee switch turns on. From here, the Tokenomics Overview follows the money.