Today’s Tokenomics Are Broken. Many protocols churn out tokens that offer little to no intrinsic value, propped up by hype-fueled narratives and baseless speculation. The result? A vicious cycle that has become the status quo in DeFi.
TL;DR
1. Tokenomics are broken. Most governance tokens rely on hype and speculation, leaving users with little value and insiders with the gains.
2. USUAL sets a new standard. It’s a revenue-driven token tied to real economic value generated by the protocol.
3. Built for long-term growth. With a community-first allocation (90% to users) and a supply model tied to protocol revenue, USUAL ensures fair value redistribution.
4. More than stablecoins. Usual bridges Real World Asset (RWA) revenue on-chain and will expand into diversified, yield-generating assets to drive sustainability and innovation.
Today’s Tokenomics Are Broken: The Case for a New Standard
Let’s face it: most tokenomics today are fundamentally flawed. Many protocols churn out tokens that offer little to no intrinsic value, propped up by hype-fueled narratives and baseless speculation. The result? A vicious cycle that has become the status quo in DeFi: DAO tokens are launched, artificially pumped to unsustainable highs, and inevitably dumped to devastating lows. This leaves insiders pocketing profits while everyday users bear the losses. What’s worse, this system erodes trust, discourages community engagement, and stifles long-term growth.
It’s no surprise that serious financial professionals scoff at current tokenomics designs. Until we break this cycle and rethink how tokens are structured, DeFi risks remaining a speculative playground instead of a true financial revolution.
USUAL Is Redefining Tokenomics: A New DeFi Standard
At Usual, we’re setting a higher bar. Unlike typical governance tokens that rely on hype or offer vague, symbolic voting rights, USUAL is designed to be a real, value-driven asset. Our token isn’t just a piece of paper—it’s underpinned by tangible revenue streams generated by the protocol itself.
The foundation of this vision starts with USD0, our stablecoin, and its innovative suite of extended products. Together, they form a liquidity unification and incentivization engine that brings Real World Asset (RWA) revenue on-chain. This is just the beginning. Over time, we aim to integrate diversified revenue streams, ensuring the value behind USUAL continues to grow and evolve.
Our mission is clear: establish USUAL as the gold standard for DeFi tokens, delivering real value to users who have long been underserved by tokenomics that prioritize speculation over sustainability. Usual is more than a protocol; it’s a gateway to a new era in decentralized finance—one where tokens represent opportunity, stability, and innovation.
How USUAL works
USUAL is designed to be a true long term asset with value. It is a revenue-based token that has economic rights on revenue generated by the DAO that exposes users to protocol growth while favoring the community over insiders.
Supply: A Model Built for Growth and Sustainability
The USUAL supply is designed to be directly tied to the revenue generated by the protocol and expose users to growth of the protocol. Each day new USUAL is minted and distributed based on the revenue generated by the protocol. This supply is designed so the growth rate of USUAL never exceeds that of the treasury and further exposes USUAL holders to growth of the protocol. There are three main pillars for which the supply follows:
Progressive Scarcity (Growth Exposure): As the protocol grows in TVL, there is less USUAL emitted per TVL. Therefore, the intrinsic value per USUAL increases as the protocol grows in TVL—directly exposing USUAL holders to growth of the protocol
Revenue-based: The emittance of supply is directly tied to revenue generated by the protocol. Making the distribution of USUAL fair as it based on value brought to the protocol.
Capped emission rate: The USUAL emitted per revenue generated by TVL will never be less than the first set rate.
These three pillars are integrated into the math behind the supply which create unique supply dynamics. After being minted, USUAL is then allocated among the community.
Allocation: Prioritizing Community Empowerment
The USUAL token allocation is built around a community-first philosophy, ensuring that the majority of value directly benefits its users. An impressive 90% of the token supply is allocated to the community, distributed through rewards and ecosystem incentives. In contrast, only 10% is reserved for insiders, a stark departure from the industry norm where insider allocations often range between 25% and 50%.
In addition, 10% of the token supply is specifically allocated to stakers of USUAL. This mechanism not only rewards long-term commitment to the protocol but also mitigates inflation, preserving the token’s value over time. This design underscores Usual’s mission to ensure the sustainable transfer of value to the community, fostering engagement and long-term trust.
All-Things Revenue: Unlocking DeFi’s True Potential
The revenue potential behind USUAL is nothing short of transformative. Consider this: centralized players like Tether and Circle collectively generated over $10 billion in 2023 alone, yet they redistribute none of this value to their users. Usual flips this model on its head, aiming to capture this immense value and channel it directly to the community.
Central to this vision is USD0++, a Liquid Staked Token that supercharges value creation. By locking USD0 into USD0++, users secure access to projected cash flows from the protocol. This innovative system not only incentivizes participation but also builds a foundation for long-term sustainability, ensuring that users are at the core of Usual’s success.
As USUAL’s value is inherently tied to protocol revenue, expanding revenue streams will be critical to the token’s growth. By bridging Real World Assets (RWA) with DeFi and introducing diversified revenue opportunities, Usual is shaping a future where the protocol’s prosperity mirrors that of its users.
Concluding Thoughts
Tokenomics doesn’t have to be a punchline. Protocols can—and should—design tokens that deliver real value, moving beyond speculative narratives that fail their communities. Usual is rewriting the rules with USUAL, a token designed to prioritize its users, redistributing genuine value generated by the protocol’s growing ecosystem and diversified revenue streams. Be part of the transformation. Be an owner, not just a user.
To dive deeper into how the Usual Protocol and USUAL work, check out our whitepaper: “Money as USUAL”.
