0xc164411c…ac30sent to0x441808e2…9279·#20,241,421·view on Etherscan
# [IP] USD3 Collateral Basket Change Proposal #1
[https://forum.reserve.org/t/ip-usd3-collateral-basket-change-proposal-1/735](https://forum.reserve.org/t/ip-usd3-collateral-basket-change-proposal-1/735)
**Summary**
Intro to the Web 3 Dollar: USD3 is a decentralized yield-bearing USD stablecoin built on DeFi markets. USD3 is a fully asset-backed currency (“RToken”) created on the Reserve protocol. RTokens feature onchain asset-backing, revenue sharing, overcollateralization and mint/redemptions, governed by RSR stakers. This RToken’s aim is to become the native Web 3 currency.
USD3 is 1:1 asset backed by a basket of yield-bearing tokens. Given the unique design and current market conditions, it is estimated to yield 5-8% APY from the most reputable protocols using the most established assets. USD3 is overcollateralized with auditable proof of reserves available on-chain 24/7.
In this proposal the aim is to discuss options for a possible solution to improve the yield and scalability in the USD3 collateral basket
*Current Basket:*
33% sDAI - 8% APY
33% Compound USDC - 8% APY
33% Aave pyUSD - 4% APY
*New Basket:*
50% sDAI - 8% APY
50% Compound USDC - 8% APY