figUSD

figUSD is not a stablecoin. It is a liquidity provider token that represents units of account for the net asset value of the collateral pool against which options are written to generate yield. Hence its value will fluctuate. Please see Risk Disclosures.

The first collateral pool of Fig will be denominated in USDC and USDT, collectively USD stablecoins.

Users can deposit stablecoins in exchange for figUSD, which is an LP token represents the net asset value of the protocol collateral pool.

Fig is starting with stablecoin pool because demand and simplicity. There exists over $150 billion of stablecoins on-chain that are seeking alternative sources of yield.

As all option writing collateral and premium are collected in USD, stablecoin pool provides users with ease of accounting and simplicity - deposit stablecoins, receive stablecoins back.