hyUSD (High Yield USD), issued by the Reserve protocol smart contracts under the governance of tokenholders, is a yield-bearing Decentralized Token Folio (Yield DTF) backed by a basket of yield-generating USD-denominated collateral that accrues value as its underlying collateral generates yield onchain [S1][S2][S3].

The token represents a pro-rata claim on a diversified, over-collateralized basket of yield-bearing ERC-20 collateral held by the protocol's smart contracts [S1][S3]. A Backing Manager periodically harvests yield from the interest-bearing collateral, and once a surplus threshold is met, onchain revenue auctions sell accrued rewards, with governance routing revenue among tokenholders and RSR stakers [S1][S3]. Fee rates and revenue routing for Yield DTFs are governance-managed onchain [S3].

The token is issued by permissionless smart contracts rather than a single corporate entity; ABC Labs, LLC operates the interface and states it is not a bank, broker-dealer, investment adviser, or other regulated financial intermediary, and is not registered with the U.S. Securities and Exchange Commission, the Commodity Futures Trading Commission, or any other financial authority [S1][S4][S5]. Tokens are not deposits, not legal tender, not guaranteed by any entity, bank, or government, and not insured by the FDIC or SIPC [S5]. Holders redeem permissionlessly onchain at real-time NAV, with staked RSR providing a first-loss buffer seized on default; users under OFAC sanctions or in sanctioned countries are restricted [S4].

hyUSD is an ERC-20 token deployed on Base [S1][S3]. Holders mint by depositing the collateral basket and redeem the token for the underlying basket, with settlement atomic and onchain within seconds [S1][S3]. NAV is maintained by permissionless arbitrage, with onchain price feeds used for default detection [S1][S3].

<Sources
  retrievedAt="2026-07-17"
  items={[
    { id: "S1", url: "https://reserve.org/" },
    { id: "S2", url: "https://docs.reserve.org/core-components/yield-dtfs.md" },
    { id: "S3", url: "https://docs.reserve.org/core-components/yield-dtfs/overview" },
    { id: "S4", url: "https://reserve.org/terms-and-conditions" },
  ]}
/>


# Circulating asset market cap methodology

## 1. Overview

Circulating asset market cap measures the total value that has been tokenized onchain for a specific asset. It is calculated by multiplying the circulating supply of the asset by its end-of-day market price. For stablecoins, this metric represents the total outstanding supply; for tokenized funds, it reflects the onchain assets under management (AUM); and for tokenized stocks, it measures the total supply of shares issued onchain.

## 2. Data sources

- **EVM chain events**: ERC-20 `Transfer` events, covering Ethereum, Arbitrum, Base, Polygon, Optimism, and others
- **Solana instructions**: SPL token `Mint` and `Burn` instructions
- **Other blockchain data**: Issuance and redemption events from Aptos, Near, Polkadot Asset Hub, and Stellar
- **Asset metadata**: Token addresses and decimal precision
- **External data**: End-of-day price feeds

## 3. Step-by-step calculation

### Component A: Identification of supply changes

- **Purpose**: Identify all onchain events that increase or decrease the total supply of an asset
- **Logic**: On EVM-compatible chains, ERC-20 `Transfer` events are parsed to identify mints (where the sender is the zero address) and burns (where the recipient is the zero address). On Solana, SPL token `Mint` and `Burn` instructions are retrieved. On other chains, such as Aptos or Polkadot Asset Hub, equivalent issuance and destruction events are identified from the respective asset programs or pallets.
- **Key fields**: `amount` (quantity of tokens), `token_address` (unique asset identifier), `timestamp` (time of the event)

### Component B: Normalization and daily supply aggregation

- **Purpose**: Convert raw event data into a continuous daily circulating supply time series
- **Logic**: Raw token amounts are normalized by decimal precision retrieved from asset metadata. The daily circulating supply is determined by calculating the cumulative sum of all identified mint and burn events for each asset. For days where no onchain activity occurs, the supply value is filled with the last known value to ensure a continuous daily record.
- **Key fields**: `amount` (normalized quantity), `timestamp` (truncated to daily grain)

### Component C: Final market cap calculation

- **Purpose**: Combine supply data with market prices to determine the total USD value
- **Logic**: The daily circulating supply is multiplied by the end-of-day market price sourced from market data providers. Data is aggregated across all supported chains to provide a comprehensive view of the asset's onchain presence. The final USD conversion is applied: `amount_usd = amount × price_usd`.
- **Key fields**: `price_usd` (end-of-day market price), `amount_usd` (final circulating market cap)

*This methodology was automatically generated by Token Terminal's methodology analyzer.*

Tokenized asset value / AUM (assets under management) — price times circulating supply.

Circulating asset market cap

Tokenized funds

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Asset management

Reserve

High Yield USD (hyUSD) is a token providing exposure to a tokenized fund issued by Reserve.

Each token is a collateral-backed contractual exposure rather than a direct claim on the issuer and has closed to new minting, with existing holders able to redeem issuance.

The fund is closed-ended, invests in crypto assets, and locks up subscriptions for 0 months.

Retail investors, professional investors, accredited investors, qualified investors, qualified purchasers, and institutions can mint and redeem directly with Reserve in wsAMM-eUSD/USDC, saBasUSDC, and wcUSDCv3, and holders have a right to redeem at net asset value with instant settlement.

hyUSD has been issued on Base as an ERC-20 token since October 2023.

High Yield USDhyUSD