> For the complete documentation index, see [llms.txt](https://docs.usx.capital/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.usx.capital/protocol/yield-strategies.md).

# Yield Strategies

How USX Generates Yield Through DeFi Strategies

USX generates yield for sUSX holders by deploying capital into carefully selected onchain DeFi strategies through Blend's non-custodial coordination layer. Your funds are automatically deployed across lending markets, tranching systems, and liquidity venues, then rebalanced as market conditions change.

{% hint style="info" %}
**Distribution Timeline**

Yield accrues continuously and is distributed linearly to sUSX holders over a rolling 7-day window. Reports update every 7 days.

See [Yield Distribution Schedule](/protocol/yield-distribution-schedule.md) for more information.
{% endhint %}

### What Are Onchain Yield Strategies?

Onchain yield strategies are DeFi opportunities that generate stable, predictable returns. USX.Capital deploys capital into vetted lending markets and liquidity venues such as Aave, Morpho, and Pendle. Each strategy is selected based on risk-adjusted returns and market conditions. Allocations shift as Blend rebalances, kindly visit [usx.capital/dashboard](https://usx.capital/dashboard) for live data.

#### How Strategies Are Executed

Blend's coordination layer automates the entire process:

* **Automated deployment** across multiple DeFi protocols simultaneously
* **Continuous rebalancing** as market conditions and yields change
* **Risk enforcement** through strict parameters that protect your principal

#### Which Protocols Are Supported?

Funds are deployed across audited vaults and apps such as:

* **Aave**: Major lending platform
* **Pendle**: Yield trading and liquidity venues
* **Morpho:** Optimized lending markets
* And others, allocations shift as Blend rebalances
* Current strategy allocations: [usx.capital/dashboard](https://usx.capital/dashboard)

<figure><img src="https://3601501210-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FdTt60r5om0G1pRfwMApK%2Fuploads%2Fe46nBbDbpixA71OfzGJQ%2Fimage.png?alt=media&amp;token=e3367ad6-d597-428f-81cb-68a0e263c594" alt="" width="375"><figcaption></figcaption></figure>

You can always find which all apps are used here: <https://www.usx.capital/dashboard>.

These are continuously evaluated and may expand as new opportunities emerge.

### Yield Distribution Schedule

Yield accrues continuously and is distributed to sUSX holders linearly over a rolling 7-day window.

The sUSX → USX exchange rate updates every 7 days to reflect accumulated yield.

* No deposit windows or lockdown periods
* No manual action required as yield accrues automatically to your sUSX
* Reports updated every 7 days

#### How Yield Accrues

* Yield accrues **continuously** as DeFi strategies generate returns
* The value of your sUSX increases automatically
* No action required: just hold sUSX

### Security and Risk Management

Your capital's safety is enforced through multiple mechanisms:

* **Strict risk parameters** that safeguard principal by limiting exposure to any single strategy
* **Audit verification**: partner protocols are rigorously audited (e.g., Blend has 6 security audits)

***

### **Distribution Timeline**

Yield is distributed linearly to sUSX holders over a rolling 7-day window, reported every 7 days. No deposit windows or lockdown periods. Just hold sUSX and the yield accrues automatically.

See [Yield Distribution Schedule](https://docs.usx.capital/protocol/yield-distribution-schedule) for more information.

### How the strategy works

USX.Capital leverages [Blend's](https://blend.money/) non-custodial coordination layer to deploy capital across carefully selected yield opportunities on multiple blockchains. These strategies include lending markets, tranching systems, and liquidity venues that generate stable, predictable returns.

Through Blend's automation system, your funds are:

1. Automatically deployed to selected opportunities across DeFi protocols
2. Rebalanced as market conditions change
3. Enforced by strict risk parameters that safeguard your principal

The key advantage of this approach is security: your capital remains in individual Gnosis Safe wallets where you maintain full signing authority.

This creates isolation between user accounts, significantly reducing security risks compared to traditional pooled approaches.

***

### Common Questions

**Q: How much yield can I expect?**

A: Yield varies based on onchain DeFi returns. Historical performance doesn't guarantee future results. Check the USX dashboard for real-time strategy performance and projected returns.

**Q: Is there a minimum amount to stake?**

A: No. You can stake any amount, from $1 to $1M+. There are no minimums.

**Q: When do I receive my yield?**

A: Yield is distributed linearly over a rolling 7-day window and reported every 7 days. You don’t need to do anything as it accrues automatically in your sUSX value.

**Q: Can I unstake my sUSX anytime?**

A: Yes. Unstaking sUSX for USX is instant. A 0.05% fee applies.

**Q: What if a partner protocol fails?**

A: Strategy diversification and position limits prevent any single protocol failure from causing total loss. The reserve fund provides additional protection (minimum 2% of principal).

**Q: How are strategies chosen?**

A: Strategies are evaluated based on risk-adjusted returns, protocol reputation, audit status, and market conditions. The team continuously monitors and rebalances allocations.

**Q: Do I need to do anything to earn yield?**

A: No. Just hold sUSX. Yield accrues automatically as strategies generate returns.

**Q: What's the difference between USX and sUSX?**

A: USX is the stablecoin (equal to $1). sUSX is the yield-bearing version you receive when staking USX. sUSX's value increases as yield accrues. Yield generation for sUSX (staked USX) happens through **onchain strategies**, i.e., DeFi yield opportunities powered by Blend.


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