Resolv: A New Attempt at On-Chain Delta-Neutral Yield Stablecoin

In the current cryptocurrency market cycle, stablecoins, venture capital, and opinion leaders have become the three major trends. Among them, opinion leaders can also be viewed as a tokenizable asset. Meanwhile, the selection space for venture capital is gradually narrowing, focusing more on stablecoins and low-risk investment products, and tending to reinvest in projects with issued tokens to obtain more certain returns.

Recently, the on-chain Delta neutral yield stablecoin (YBS) project Resolv completed a $10 million seed round financing, marking the project's first public fundraising since its establishment in 2023. Compared to similar projects, Resolv is relatively low-key, but its innovations are equally impressive. The main features of Resolv include a unique yield model, more on-chain yield sources, and a complex token economics design.

The founding team of Resolv consists of three science and engineering talents educated in Russia. This round of financing was led by the Dutch investment firm Maven11, with several American capital participants also involved. Considering the current geopolitical situation, this financing has likely already been completed, and it is only being announced now out of caution.

Compared to other YBS projects, Resolv places greater emphasis on embracing the on-chain ecosystem and attracts the market with higher yields. In terms of token economics, Resolv adopts a three-token model, including the stablecoin USR, the RLP which serves as both insurance funds and LP Token, and the governance token $RESOLV. This design allows Resolv to provide diversified investment options for users with different risk preferences while maintaining stability.

The revenue of Resolv relies more on the on-chain ecosystem, including the inherent yields of interest-bearing assets like stETH, as well as the fees obtained from contract hedging on platforms like Hyperliquid. Although on-chain yields may be higher than the hedging yields from centralized exchanges, the current liquidity of Hyperliquid is still inferior to that of mainstream centralized exchanges.

To address this challenge, Resolv introduced RLP as an insurance mechanism to reduce dependence on centralized exchanges and USDC. Theoretically, USR will be fully over-minted by on-chain assets, with part of the collateralized assets used for institutional custody and off-chain hedging. RLP serves as a leveraged yield token, providing higher potential returns for users with a high-risk appetite.

However, Resolv's innovations also bring some potential risks. The complex mechanism design may increase the system's vulnerability, especially under extreme market conditions. In addition, the insurance mechanism of RLP has not yet been subjected to rigorous market testing.

Nevertheless, Resolv's attempt represents an important innovation in the YBS field. With the arrival of the low-interest investment era, more projects may join the competition for YBS. For newcomers, as long as they can offer yields higher than the existing benchmarks, there is a possibility of attracting the participation of risk-takers.

In the future, how the YBS project stands out in an increasingly competitive environment, how it balances security and returns, and how it demonstrates its value to ordinary users will be important challenges faced in this field. For Resolv, whether it can smoothly navigate potential market fluctuations will be an important indicator of its maturity.