Proposal 37 – Increase Staked Axis USD Allocation in USP Reserve Backing Distribution

Summary

This proposal seeks to increase the allocation of Staked Axis USD (sUSDx) within the USP backing framework from 25% to 27%. The adjustment reflects the strong recent performance of Staked Axis USD and aims to expand USP’s exposure to a high-performing, yield-generating stablecoin strategy while maintaining a diversified collateral structure.

Rationale

Staked USDx has demonstrated strong yield performance over the past three weeks, highlighting its effectiveness as a productive and capital-efficient backing asset. Increasing the allocation from 25% to 27% allows USP to scale exposure to a strategy that has recently delivered attractive risk-adjusted returns while maintaining a stable-value profile.

As the staked version of Axis USD, sUSDx provides access to diversified, non-directional yield generation, supporting USP’s objective of building a resilient and yield-efficient backing framework. Expanding the allocation also improves the protocol’s flexibility to benefit from favorable market conditions and strengthens diversification across yield sources and stablecoin infrastructures.

Overall, this proposal reflects a balanced approach between performance optimization and risk-aware treasury management, reinforcing USP’s ability to generate sustainable returns while preserving backing stability.

USP Reserve Backing Distribution Pre Proposal:

RATE CRYPTO TYPE Details
57% BMMF Turkey Stablecoin FX Arbitrage Strategy On Chain https://www.balsafinance.com/
25% Staked USDx On Chain https://www.axis.to/
10% Brix Money wiTRY On Chain https://brix.money/
4% USD AI sUSDai On Chain https://usd.ai/
2% Upshift earnAUSD On Chain https://app.upshift.finance/pools/143/0x36eDbF0C834591BFdfCaC0Ef9605528c75c406aA
1.5% Midas mF-ONE On Chain https://midas.app/mfone
0.5% USDC On Chain https://www.usdc.com

USP Reserve Backing Distribution Post Proposal:

RATE CRYPTO TYPE Details
57% BMMF Turkey Stablecoin FX Arbitrage Strategy On Chain https://www.balsafinance.com/
27% Staked USDx On Chain https://www.axis.to/
10% Brix Money wiTRY On Chain https://brix.money/
4% USD AI sUSDai On Chain https://usd.ai/
1.5% Midas mF-ONE On Chain https://midas.app/mfone
0.5% USDC On Chain https://www.usdc.com
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