Structured Finance for Limited Liquidity

Given the nature of capital market assets (low mark-to-market), USD.AI rebuilds the entire DeFi stack to be oracleless & made for capital assets rather than just money assets (spot market & oracle-based). “Structured finance” is the process of abstraction: utilizing layers of liquidity mechanisms to achieve full risk transfer, like thermal dynamics but for finance. USD.AI rebuilds and layers oracleless lending, yield-bearing positions/tokens, risk underwriting (vaults), yield splitting, and finally a synthetic dollar, without the need of an oracle. USD.AI and the corresponding token representations (USDai and sUSDai) represent the latest progression of the MetaStreet protocol & ecosystem around onchain structured credit products.

Lending without price oracles (2023)

Launch: Automatic Tranche Maker (ATM) (like Uniswap V3 for oracleless lending)
Enables oracleless lending for low-liquidity assets (NFTs, RWAs, etc)
$3M TVL

Long-dated, yield-bearing loans (2024)

Launch: Liquid Credit Token (LCT) (similar to Lido)
Enables trading of yield-bearing tranche positions, “rebases” upon successful repayment of loans
$60M TVL

Modular underwriting (RWA Asset Origination) (2024)

Launch: ObjectSDK (comparable to Morpho Blue for DePIN/RWAs)
Modular underwriting system for low latency appraisals & amortization schedules.
20 new assets enabled

Yield splitting without spot LP (2024)

Launch: Yield Pass (similar to Pendle but for NFTs)
Strips & isolates yields but for productive illiquid assets, such as Node Licenses
$202M TVL (current)

USD.AI synthetic dollar for unified liquidity layer (2025)

Launch: USD.AI (like “GLP/HLP” - a single token for multiple collateral types)
Yield-bearing synthetic dollar backed by loans against DePIN/AI hardware (InfraFi), targeting 20-25% APR
Initially starting as a T-Bill yield-bearing product with plans to progressively diversify collateral base to InfraFi assets
Target: >20% penetration of all DePIN hardware, already $237m of borrower demand demonstrated

Queue Extractable Value (QEV) to optimize redemption liquidity (2025)

Launch: QEV-Boost – a liquidity incentive system based on epoch timing (similar to Flashbots)
Improves USD.AI liquidity allocation through market-driven queue ordering
- Structured redemption queue based on payment schedules
- Stakers can bid in QEV auctions for priority access to liquidity
- Fair distribution through proportional queue advancement
- Passive stakers earn rewards from smoothed yields and auction fees
Target: Enhance redemption efficiency to earn up to 3% of protocol yield via QEV prioritization

PreviousCALIBER Framework: DePIN Tokenization NextQueue Extractable Value (QEV)

Last updated 2 months ago

USD.AI synthetic dollar for unified liquidity layer (2025)

Launch: USD.AI (like “GLP/HLP” - a single token for multiple collateral types)

Yield-bearing synthetic dollar backed by loans against DePIN/AI hardware (InfraFi), targeting 20-25% APR

Initially starting as a T-Bill yield-bearing product with plans to progressively diversify collateral base to InfraFi assets

Target: >20% penetration of all DePIN hardware, already $237m of borrower demand demonstrated

Queue Extractable Value (QEV) to optimize redemption liquidity (2025)

Launch: QEV-Boost – a liquidity incentive system based on epoch timing (similar to Flashbots)

Improves USD.AI liquidity allocation through market-driven queue ordering

Structured redemption queue based on payment schedules
Stakers can bid in QEV auctions for priority access to liquidity
Fair distribution through proportional queue advancement
Passive stakers earn rewards from smoothed yields and auction fees

Target: Enhance redemption efficiency to earn up to 3% of protocol yield via QEV prioritization

See expanded details .