Reserves & T-bills

Questions about the USDC and T-bill reserves and how base yield reaches sUSDest.

USDC, held partly as USDC and partly in tokenized short-dated US Treasury bill funds. USDest can be minted only against a USDC deposit.

No. USDest holders receive no yield. The T-bill yield on the reserve is harvested into sUSDest.

The reserve is held by the BasePositionManager. When its value exceeds USDest supply, the BasePositionManager harvests the surplus and has USDest mint it into the sUSDest vault, net of an admin fee. This raises sUSDest NAV.

Approved reserve funds must offer at least daily dealing, so the T-bill leg settles on the fund's own cycle, typically same-day or T+1 under its published dealing terms. A USDC buffer of 5% (USDC_BUFFER_BPS) is also kept so approved institutions can redeem USDest up to that amount without waiting on fund settlement at all.

Onchain, through the contract addresses listed in Contract Addresses. Also in the Proof of Reserves dashboard and in periodic third-party attestations.