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CUSD Stablecoin Overview

CUSD ($CUSD) - Privacy-Native Stablecoin

CUSD is redefining what a stablecoin can be: private, programmable, and built for real-world use.

Executive Summary​

CUSD ($CUSD) is a USD-pegged stablecoin launched on Canton Network via Brale, designed for privacy-native transactions across institutional and retail use cases. CUSD enables confidential transactions by default while maintaining full regulatory compliance and 1:1 USD backing.

The protocol generates sustainable value through treasury yield management (~4% annually), with 80% directed to $SEND buybacks and 20% supporting operations. Users earn $CC rewards from Canton Network activity, creating a flywheel where $CUSD adoption drives ecosystem engagement across Send's ecosystem of products - Canton Wallet, Canton Safe, and Send mobile apps. Target metrics include $50M TVL in Year 1, achieved through GENIUS Act compliance and privacy-preserving institutional onboarding.

Key Value Propositions​

  • Privacy-native transactions with selective compliance disclosure
  • Direct $SEND value accrual through automated buybacks (80% of yield)
  • $CC rewards integration across Canton Network applications
  • Enterprise-grade self-custody and regulatory framework

Privacy Architecture​

Why Privacy Matters for Stablecoins​

Current stablecoins operate with full transaction transparency, creating fundamental vulnerabilities:

  • Enterprise Risk: Competitors analyze cash flows, supplier relationships, and strategic positioning
  • Individual Exposure: DeFi participants reveal net worth, trading strategies, and financial behavior
  • Security Concerns: Large holders become targets for attacks and social engineering
  • Commercial Disadvantage: Transparent balances weaken negotiating positions

Canton Network Privacy Solution​

CUSD leverages Canton's confidential computing architecture:

  • Private Transactions: Amounts and counterparties remain confidential between participants
  • Selective Disclosure: Compliance reporting through privacy-preserving mechanisms
  • Zero-Knowledge Attestation: Reserve backing verification without exposing specific positions
  • Institutional Privacy: Enterprise treasury operations without strategic information leakage

Compliance and Regulation​

CUSD prioritizes privacy-preserving compliance across multiple jurisdictions, utilizing Brale's regulated issuance platform while maintaining transaction confidentiality through selective disclosure rather than blanket transparency.

United States Framework​

  • Licensing: Full MTLs across all states as FinCEN-registered MSB
  • Custody: Bankruptcy-protected accounts with federal OCC trust charter pursuit
  • Compliance: GENIUS Act alignment through zero-knowledge reserve attestations
  • Auditing: Monthly independent verification with privacy-preserving reporting

Global Expansion Strategy​

  • European Union: MiCA compliance via VASP registration, transitioning to CASP/EMI
  • Asia-Pacific: Singapore (MAS) and Abu Dhabi (FSRA) licenses for institutional adoption
  • Emerging Markets: Regulated subsidiaries in key growth corridors (Brazil, Mexico, Philippines)

Regulatory Innovation: $CC rewards for compliant mints/redemptions incentivize proper KYC while maintaining ongoing transaction privacy.

Reserves​

CUSD maintains 1:1 USD backing through diversified, institutional-grade assets generating sustainable yield while ensuring stability and immediate liquidity.

Asset Composition​

  • Short-dated U.S. Treasuries (primary yield generation ~4-5%)
  • Overnight Reverse Repo (additional yield with minimal risk)
  • Cash Equivalents (liquidity buffer for redemption demands)

Custody and Verification​

Reserve management utilizes partners with $49T+ AUM capacity, holding assets in segregated, bankruptcy-remote accounts. Privacy-preserving proof-of-reserves enables regulatory transparency without exposing specific positions or exact re