Resolv: Delta Neutral Yield Stablecoin of the Three Token Model

Recently, the on-chain Delta-neutral yield stablecoin project Resolv secured $10 million in seed round funding, led by Maven11. This is Resolv's first public financing since its establishment in 2023. Compared to similar projects, Resolv is relatively low-key, but its innovations are not inferior, mainly reflected in its unique yield model, on-chain yield sources, and complex Token economics.

The three founders of Resolv, Ivan Kozlov, Fedor Chmilevfa, and Tim Shekikhachev, all received a science education in Russia. This financing is likely already completed, but has been delayed for certain considerations. As a YBS project, Resolv needs at least some liquidity to deal with potential black swan events.

Compared to other projects, Resolv is more inclined to embrace the on-chain ecosystem and compete for market share by offering higher yields. In terms of token economics, Resolv adopts a three-token mechanism, including the stablecoin USR, the RLP which serves as both insurance funds and LP Token, and the governance token $RESOLV.

The core of Resolv lies in the dual-yield Token system formed by USR and RLP. After users deposit USDC/USDT/ETH, they can mint USR at a 1:1 ratio. These assets are primarily stored in on-chain protocols or Hyperliquid to reduce asset losses caused by the hedging of centralized exchanges. RLP Tokens are mainly used to cover the funds hedged in centralized exchanges, theoretically providing a higher yield.

In terms of sources of income, Resolv is more actively embracing the on-chain ecosystem. The income from the YBS project typically comes from the inherent yields of interest-bearing assets like stETH, as well as the fees from hedging contracts on centralized exchanges. Although on-chain yields may be higher than those from centralized exchange hedging, the liquidity of Hyperliquid is clearly inferior to that of mainstream exchanges, which highlights the value of RLP.

Resolv introduces RLP as an insurance mechanism, aiming to minimize the negative impact brought by centralized exchanges and USDC participation. Theoretically, USR will be fully over-issued by on-chain assets, with part of the issued collateral assets used for institutional custody and off-chain hedging.

Looking ahead, the YBS market still has room for growth. Resolv's innovation lies in its improvements in capital efficiency and security. However, placing more yields and funds on-chain also means facing more potential risks. In a highly competitive environment, balancing security and yield will be an ongoing challenge.

With the arrival of the low-interest financial management era, the startup costs of the YBS project may be lower than during the DeFi Summer period. As long as the APY of new projects can exceed 5%, it is possible to attract investors to participate. However, how to stand out among the numerous YBS projects will be a key issue that needs to be addressed.

The combination model of USR and RLP can be seen as a hybrid product of Hyperliquid and other YBS projects, attempting to surpass existing products through more complex mechanism designs. However, this also means an increase in risk, especially under extreme market conditions, as the insurance mechanism of RLP has yet to be tested.

For any stablecoin project, experiencing and overcoming a de-pegging crisis is an important milestone. We look forward to Resolv successfully passing this test and securing a place in the YBS market.