What is Resolv (RESOLV)?

When working with decentralized finance (DeFi) platforms, stablecoins often play a central role. Both developers and users rely on them because they offer predictability, strong collateral support, and help limit exposure to centralized risks that can undermine DeFi systems.

Resolv is a protocol built to provide a stablecoin system tailored for the fast-expanding DeFi sector. Its stablecoin, called USR, is backed by major cryptocurrencies like Bitcoin and Ethereum. The coin is overcollateralized and relies on smart collateral management along with neutral market strategies to keep its value close to the dollar.

Resolv was created by three entrepreneurs with solid backgrounds in finance and technology: Fedor Chmilev, Ivan Kozlov, and Tim Shekikhachev. These founders have worked with major players in fintech and started Resolv Labs in 2023 with the aim of bringing new solutions to blockchain and crypto markets.

Their concept quickly drew attention from serious investors in the crypto space. Last April, Resolv Labs secured $10 million in seed funding. Investors included Maven 11, CyberFund, Robot Ventures, Arrington Capital, Coinbase Ventures, and others who saw promise in the project.

Key Features of Resolv

What makes Resolv notable is its approach to keeping the stablecoin steady while handling the ups and downs of the crypto market. Users deposit Bitcoin or Ethereum as collateral to create USR, while Resolv opens short perpetual positions on those same assets. This setup keeps exposure to market swings minimal, helping the coin maintain its target value.

Another feature is the Resolv Liquidity Pool (RLP), where users can stake tokens to support the system and receive rewards. The pool spreads out risk and gives opportunities to both cautious and more aggressive liquidity providers, reducing the chance of forced liquidations.

Resolv also includes a 30% margin buffer. This cushion helps absorb price swings automatically, using an internal system that adjusts collateral levels as needed. The $RESOLV token ties everything together by supporting governance and encouraging community involvement.

In summary, Resolv offers:

• A balanced strategy using on-chain BTC and ETH to protect the collateral pool’s dollar value even in a volatile market.
• A dual-token structure, where USR serves as the stablecoin and RLP acts as a safety net, offering income potential to participants at different risk levels.
• A staking model that rewards those who commit their tokens for longer periods with higher returns and a bigger role in decision-making.
• A system that allows users to mint $1 of USR with just $1 of collateral thanks to its hedging strategies, avoiding unnecessary over-collateralization.
• A risk management setup that uses top custodians like Fireblocks and Ceffu to safeguard funds through secure off-exchange solutions.

How Resolv Works?

Resolv’s USR is a stablecoin tied to the US dollar. It’s backed by on-chain collateral, including ETH, staked ETH (stETH), and BTC. Users can mint or redeem USR at a 1:1 ratio using these assets.

Some important aspects of USR:

• Backed by over 100% reserves in ETH and BTC.
• Further protected by an additional insurance layer through the RLP token.
• Can be staked to generate stUSR, a version of the coin that earns yield.
• Designed to stay close to its dollar value through arbitrage and redemption tools.

Maintaining Stability with Market Hedging

A central part of Resolv’s design is its market-neutral position. The system uses perpetual futures contracts to hedge the value of its collateral against market swings. Short positions are opened to offset price changes in ETH and BTC.

When prices rise, any gains in the collateral are balanced by losses from these short positions. When prices fall, the gains from the shorts offset losses in the collateral. This helps USR hold steady against the dollar.

Hedging is spread across centralized and decentralized platforms to avoid putting too much reliance on one type of exchange. The protocol limits exposure to centralized platforms using dynamic controls, custodial services, and an extra layer of protection through the RLP pool.

What is RLP?

The Resolv Liquidity Pool (RLP) is an added safety net for USR. It holds extra ETH and BTC above what’s directly needed to back the stablecoin.

RLP is built to:

• Take on market and counterparty risks from centralized trading platforms.
• Support the USR peg during turbulent markets.
• Provide higher yield potential for those willing to accept more risk.

Unlike USR, the value of RLP changes depending on the collateral levels and how profitable the system is.

Even if the pool is drained during stress events, USR stays fully backed and can still be redeemed. As the RLP pool shrinks, the higher yields tend to draw in more collateral, rebuilding the protection over time.

Profit Generation and Distribution

Resolv doesn’t just aim for stability — it’s designed to produce steady returns through staking rewards on ETH, funding fees from futures, and careful collateral management.

These profits are shared daily through:

• A base reward for both stUSR and RLP holders.
• A risk premium, which is an extra reward for RLP holders who take on additional risk.
• Protocol fees, which go to the Resolv treasury to fund future development.

If losses occur, such as from negative funding rates, they’re absorbed by the RLP pool, not by USR. This setup keeps the stablecoin’s peg intact and helps build trust in its reliability.

What is the RESOLV Token?

RESOLV is the protocol’s governance and reward token. It had a strong launch, gaining around 25% on its first trading day. With a $48 million market cap and $430 million fully diluted valuation, RESOLV supports the broader Resolv system alongside USR and RLP.

RESOLV gives holders the chance to:

• Vote on proposals about protocol changes, integrations, and system settings.
• Help align the interests of DeFi platforms, liquidity providers, and long-term holders.
• Support treasury decisions for community programs like bug bounties and other initiatives.

The RESOLV token is listed on many platforms, including Binance, OKX, MEXC and PancakeSwap. If you’re looking to list your token on similar platforms, understanding the token listing process and crypto exchange listing fees is essential.

Conclusion

Resolv takes a different path in building a stablecoin model. By using crypto-backed collateral, market-neutral hedging, and layered protection, it aims to offer a more durable solution that doesn’t rely on fiat reserves or central issuers. Its focus on staking, insurance, and risk management is meant to provide a stronger and more dependable system for DeFi users.

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