Frequently Asked Questions about pmUSD

pmUSD is a fully-backed stablecoin issued by RAAC (Real Asset Aligned Capital). It is designed to maintain a 1:1 peg to the US Dollar and is backed by a transparent, on-chain verifiable reserve of real-world and digital assets. pmUSD gives DeFi participants a stable unit of account that combines the liquidity of crypto markets with the security of fully collateralised backing.

Unlike algorithmic stablecoins that rely solely on market incentives or governance tokens, pmUSD is fully collateralised at all times. Real-time proof of reserves is published on-chain, allowing any user to verify the backing without relying on a centralised attestation. Additionally, pmUSD is deeply integrated into DeFi, with liquidity pools on Curve and yield-bearing vaults on Yearn, Beefy, and Convex — giving holders productive ways to deploy their pmUSD.

pmUSD is backed by a diversified collateral basket that includes stablecoins, tokenised real-world assets (RWAs), and other high-quality digital assets approved by RAAC's risk framework. The full collateral composition is visible on the Collateral page and updated in real time. This transparent approach ensures that every pmUSD token in circulation is fully covered at all times.

pmUSD was created by RAAC (Real Asset Aligned Capital), a protocol focused on bridging decentralised finance with traditional markets through transparent and scalable infrastructure. The RAAC protocol is governed by its community, with key decisions around collateral types, risk parameters, and integrations subject to on-chain governance processes. You can learn more on the About page.

pmUSD is currently deployed on Ethereum Mainnet, where it is integrated with leading DeFi protocols including Curve Finance, Yearn Finance, Beefy Finance, Convex Finance, and Stake DAO. RAAC continuously evaluates new network deployments to expand pmUSD's reach and utility across the DeFi ecosystem.

To mint pmUSD, connect your wallet to the RAAC dashboard at pmusd.raac.io and deposit eligible collateral assets. Once your deposit is confirmed on-chain, the corresponding amount of pmUSD will be issued to your wallet. Always ensure you are interacting with the official RAAC contracts. You can verify contract addresses in the official documentation.

Redemptions are processed directly through the RAAC dashboard. Navigate to the redeem section, enter the amount of pmUSD you wish to burn, and select your preferred collateral asset. After the transaction is confirmed, the underlying collateral is released to your wallet. Redemption fees, if any, are displayed transparently before you confirm the transaction.

RAAC applies a small protocol fee on mint and redeem operations to sustain the protocol's reserve management and operational costs. The exact fee schedule is displayed on the dashboard before you confirm any transaction, and is governed by the RAAC community. Standard Ethereum network gas fees also apply to all on-chain transactions.

pmUSD holders can earn yield through several routes: providing liquidity to pmUSD pools on Curve Finance (paired with crvUSD, frxUSD, OUSD, or USDT), depositing LP tokens into yield-optimising vaults on Yearn Finance, Beefy Finance, or Convex Finance, or staking via Stake DAO. Each strategy offers different APR profiles. The RAAC dashboard aggregates all available opportunities in one place so you can choose the strategy that best matches your risk and return preferences.

As with all DeFi activity, providing liquidity with pmUSD carries risks including smart contract vulnerabilities in the third-party protocols (Curve, Yearn, Beefy, Convex), impermanent loss if the paired assets depeg, and liquidity risk during extreme market conditions. RAAC takes security seriously and encourages users to review the audits and risk disclosures available in the documentation before deploying capital. Always do your own research.

pmUSD can be swapped on Curve Finance pools, which provide deep liquidity and low slippage for stablecoin swaps. You can also use aggregators such as 1inch or Paraswap, which will route your trade through the best available liquidity sources. For large trades, minting or redeeming directly through the RAAC dashboard may offer better rates than secondary market swaps.

RAAC publishes real-time proof of reserves on-chain. You can view the current collateral composition and reserve ratios at any time on the Collateral dashboard. All reserve data is derived directly from on-chain state and does not rely on off-chain attestations. This transparency is a core design principle of pmUSD, ensuring that any holder can independently audit the backing without trusting a centralised party.

Yes. The RAAC protocol and pmUSD smart contracts have been audited by independent security firms. Audit reports are publicly available in the RAAC documentation. RAAC conducts ongoing security reviews and encourages responsible disclosure of any vulnerabilities through its bug bounty programme. Security is a continuous process, and the team remains committed to maintaining the highest standards of smart contract safety.

RAAC maintains over-collateralisation thresholds and automated risk controls to protect the peg even in adverse market conditions. If the value of a collateral asset approaches critical thresholds, the protocol can trigger rebalancing mechanisms, including partial liquidations or collateral substitution, as defined in the governance-approved risk parameters. The diversified nature of the collateral basket also reduces the impact of any single asset's price movement on the overall reserve health.

The best starting points are the official documentation, the RAAC blog, and the whitepaper. To engage with the community and get real-time support, join the RAAC Discord server or follow RAAC on X (Twitter). You can also visit the About page for an overview of the protocol's mission and team.

For technical support or general questions, the primary channel is the RAAC Discord community at discord.com/invite/raac. The team and community moderators are active and responsive. For partnership or business enquiries, you can reach out via the Partner With Us form. Please be cautious of scammers — RAAC support will never ask for your private keys or seed phrase.