# USDR (/docs/rise-evm/usdr)

USDR is the native stablecoin of the RISE ecosystem. It is a USD-pegged token that serves as the base unit of account across RISE, used as the main quote asset on AMMs (such as Icarus), money markets (such as Spine), and vaults (such as the Autoyield vault on RISEx).

USDR is not an algorithmic stablecoin. It is a fully collateralized wrapper built on top of M0's `$M` token, inheriting the same reserve backing and institutional-grade collateral framework that underpins `$M`.

## Backing: M0 and T-bills

USDR derives its backing from `$M`, the base-layer stablecoin issued by the M0 protocol. Every unit of `$M`, and by extension every unit of USDR, is backed 1:1 by short-duration US Treasury exposure (T-bills). For a deeper understanding of the underlying `$M` protocol, collateral framework, and reserve mechanics, see the [M0 documentation](https://docs.m0.org/).

## Minting and redemption

USDR can be acquired through two routes.

### 1. Via M0's Limit Order Protocol

This is the canonical path. RISE holds a direct minting relationship with M0, enabling 1:1 minting of USDR by RISE from USDC on Ethereum. Support for Arbitrum and Base is coming soon.

M0 operates a solver network that handles the conversion from `$M` to USDR on RISE at a 1:1 rate. The solver network executes the swap seamlessly, so end users receive USDR on RISE without needing to interact with `$M` directly.

### 2. Bridge via Bungee

USDR is also integrated with Bungee, a cross-chain bridge aggregator running its own solver network. Users can bridge assets from any supported chain into USDR on RISE directly through the Bungee interface, making it the most accessible entry point for moving liquidity from other ecosystems onto RISE.

## Revenue model

All yield generated by the reserves backing USDR is retained by RISE as protocol revenue. These revenues are redirected to deepen USDR liquidity across the ecosystem: funding LP incentives, tightening spreads on USDR trading pairs, and strengthening the overall stability and utility of USDR as the primary settlement currency on RISE.