In the cryptocurrency world, stablecoins (such as USDT and USDC) have always been a core tool for fund management, serving the role of settlement and trading. However, they do not generate yield on their own, and holding them for the long term often means missing out on interest opportunities. The GUSD launched by Gate on August 29, 2025, offers a new option for on-chain users: a dollar financial certificate backed by government bonds and other RWAs, balancing stability and yield, truly allowing assets to "appreciate in value."
What is GUSD
GUSD is a USD financial certificate launched on Gate, essentially an on-chain digital voucher. Its characteristic is that the yield is tied to the holding period, and the principal and interest are settled in a lump sum upon redemption. For example: by minting GUSD with 100 USDT, if a 20% yield is generated during the holding period, 120 USDC can be obtained upon redemption. This model not only simplifies operations but also makes on-chain fund management clearer.
Differences from traditional stablecoins
Compared to stablecoins like USDT and USDC, GUSD has three major differences:
- has interest-generating function Traditional stablecoins are only used for trading and settlement, while GUSD converts time into interest returns.
- The scene is more comprehensive. It can be used as margin to participate in trading, as well as for staking, lending, or depositing into the extra coin treasure.
- Stacked Incentives Through Gate’s ecosystem activities, users holding GUSD can also receive additional rewards, achieving dual benefits of "stable interest + ecological dividends."
In other words, stablecoins are "static financial tools," while GUSD is a "dynamic financial certificate."
Simple acquisition method
New users can easily obtain GUSD in two ways:
- Directly exchange USDT in the Gate spot market;
- Earn coins on-chain by minting at a 1:1 ratio with USDT or USDC.
After minting is completed, GUSD can immediately be used as margin for unified accounts, covering both spot and contract trading scenarios, and can also enter wealth management or staking pools, offering high flexibility.
Earning Model: Time is Interest
The yield of GUSD comes from underlying RWAs (such as US Treasuries). Users do not need to collect interest daily, but rather settle principal and interest in one lump sum upon redemption. This model makes the wealth management experience closer to traditional finance ‘notes’, avoiding frequent on-chain operations.
In addition, the Yubi Treasure GUSD flexible savings has been launched, and idle positions can also earn interest automatically, allowing funds to no longer stagnate.
Incentive stacking: making returns more flexible
In addition to the basic interest, the GUSD staking pool launched by Gate offers high incentives, allowing users to stake GUSD to share in CELB, with official estimates of an annualized return of up to 365%. At the same time, CandyDrop and lending functions are also being integrated, and future yield dimensions will be more diversified.
This means that users can not only profit from RWA earnings but also enjoy "additional bonuses" through ecosystem activities.
Transparency and Security Assurance
Gate plans to expand the scale of GUSD to over 100 million USD in the short term and gradually disclose reserve proof and custodian information to ensure 100% full backing. This transparency guarantees the safety of user funds. In terms of the exit mechanism, GUSD can be exchanged for USDC at a 1:1 ratio, which can then be converted into USDT or other assets, ensuring a liquidity experience for global users.
Who is suitable for using GUSD
- Investors who hold USD assets for the long term No longer let funds sit idle, enjoy the interest income brought by time.
- users who frequently engage in trading can be used directly as margin for integrated fund management.
- Newbies looking to improve capital efficiency Low threshold minting, simple and easy to understand, can be started in a few minutes.
GUSD is both a financial management tool and a trading tool, suitable for various scenarios.
Risk Warning
Any products related to RWA carry macro interest rate, custodian, contract, and regulatory risks. This article is for informational purposes only and does not constitute any investment advice. Please be sure to assess the risks and read the official Gate user agreement before participating.
User Agreement: https://www.gate.com/legal/user-agreement
Summary: A smarter way of managing funds
Stablecoins solve for "transaction convenience," while GUSD solves for "capital efficiency." Through RWA backing and ecological incentives, GUSD allows users to obtain continuous returns without sacrificing liquidity. With the gradual improvement of features such as staking, lending, and residual coin treasure, GUSD is expected to become the core tool for on-chain dollar asset management, providing users with smarter financial management options than stablecoins.
