qUSD & the peg

qUSD is the protocol's USD-pegged debt token — minted only against collateral, redeemable against it, and anchored near one dollar.

What qUSD is

qUSD is minted only against user-supplied collateral and is redeemable against that collateral. It is a debt token — not a bank deposit or a guaranteed store of value.

How the peg holds

Three forces keep qUSD anchored near one dollar:

• Overcollateralization — every qUSD is backed by more than a dollar of collateral
• Redemptions — when qUSD trades below peg, it can be redeemed against vault collateral, creating buy pressure
• The Stability Pool & Surplus Buffer — absorb bad debt before it can threaten the peg