Stabl.Fi's $CASH token differentiates itself from traditional yield-bearing stablecoins by leveraging an external treasury owned by Stabl Labs (we call it the Overcollateralization Treasury or OC Treasury) that farms in higher-yielding strategies as well as collects revenue from Retro, and passes those higher yields to $CASH holders.
- This enables $CASH holders to benefit from non-collateral stable farming strategies, and even non-stablecoin farming strategies - all while being 100% collateralized in "safe" stables.
- The OC Treasury also serves as an "insurance policy." Unfortunate events happen in DeFi. If one of these events were to happen, the treasury itself can be used to compensate a loss of funds. Knowing that there are reserve funds available should bring greater peace of mind to investors. As already stated, however, $CASH collateral is farming much safer strategies than what is typically found in a traditional yield-bearing stablecoin portfolio.
The Stabl.Fi ecosystem is made up of 2 treasuries - the $CASH Treasury and the OC Treasury.