Relend Network USDC (Swell)Price

(RUSDC)

Relend Network is designed to tackle stablecoin liquidity fragmentation across Layer 2 (L2) networks. It acts as a crucial credit infrastructure, supplying its rUSDC stablecoin to diverse Decentralized Finance (DeFi) ecosystems. By doing so, it aims to enhance the overall credit supply and boost Total Value Locked (TVL) within DeFi, promoting a more fluid and integrated multi-chain environment.

rUSDC is an overcollateralized stablecoin, serving as a collection of USDC wrappers, offering a 1:1 redemption for USDC on the Ethereum mainnet. Users mint rUSDC on Ethereum by depositing USDC, then bridge it to supported Layer 2 chains to access various DeFi opportunities. Its peg is maintained by both local and global Price Stability Modules (PSMs). The Global PSM, managed by the Relend Network vault curator, can supply USDC to local PSMs, guaranteeing redemptions even if a local chain's USDC supply is temporarily low due to widespread rUSDC borrowing. This system ensures robust liquidity and stability across different networks.

Relend Network’s core features include a scalable credit supply via rUSDC, a "Money Multiplier" mechanism to expand economic liquidity, and a Collateralized Debt Position (CDP) stablecoin model enhanced by Price Stability Module (PSM) backing for 1:1 USDC redemption. Its innovative multi-chain design provides security, composability, and resilience by creating unique rUSDC instances for each chain. This architectural choice isolates risks, ensuring that potential issues on one chain do not impact rUSDC's stability or functionality on other interconnected networks, thus avoiding widespread contagion.

Users depositing into Relend Network's pre-deposit vaults can earn competitive interest rates, Morpho tokens, and RELEND Units before the main network launch. These participants automatically contribute to the Global Price Stability Module (PSM) once the network is live, playing a vital role in its stability. Funds can be withdrawn at any time, adhering to Morpho's standard terms. The security of these pre-deposit vaults is a top priority, managed by Morpho, which has undergone numerous audits by reputable security firms, ensuring a high level of asset protection for depositors.

Relend Network prioritizes security, with its pre-deposit vaults managed by Morpho, which has undergone over 23 audits by reputable security firms. The rUSDC implementation itself has passed two audits, identifying only low-severity issues. However, potential risks for users include general smart contract vulnerabilities, chain-specific issues that could impact local Price Stability Modules (though risk is segregated across chains), curator risks, and the possibility of price de-pegging. The design aims to mitigate these through its segregated risk model, ensuring an issue on one rUSDC-C instance won't affect others.

Yes, Relend Network plans to launch its own native token, denoted as "$R," shortly after the main network goes live. This token will likely play a role in the project's ecosystem. For growth and adoption, Relend Network focuses on enabling stablecoin liquidity for money markets and lending protocols, thereby increasing Total Value Locked (TVL) across DeFi. By offering tailored collateral assets and reducing the reliance on complex cross-chain liquidity solutions, it aims to cater to specific credit needs within various ecosystems, fostering a more robust and efficient multi-chain environment.