We are excited to announce that as of today, RSV v2 is now live!

Until now, we have been leveraging RSV v1 within the Reserve app. Today we retire RSV v1 and move one significant step closer to realizing our vision of a decentralized, censorship resistant, stable currency.

While this is not the launch of the full Reserve protocol described in our white paper (colloquially known as “main-net launch” in our community), we’re excited because this represents a big moment in the project’s history. RSV is here, it’s out in the world and our community members, at least the nerdiest among you, can mint it and redeem it for yourselves.

How we sometimes spend our Saturday nights ^_^

Meet RSV v2

RSV v2 is backed by a basket of on-chain collateral assets, held by the Reserve Vault smart contract. This basket is comprised of equal parts TUSD, PAX, and USDC — so each RSV is initially redeemable with the Reserve smart contracts for 1/3 TUSD + 1/3 PAX + 1/3 USDC.

Since each RSV token is redeemable directly for this basket, value of the RSV token is economically linked to the value of the basket. This anchors RSV at $1.00, as each of the current collateral tokens is redeemable for USD 1:1. This basket can be diversified over time through decentralized rebalancing, which we describe later.

While RSV v1 was still more auditable than Tether, the truth is it didn’t meet our standards for scalability or decentralization. We’ve made some improvements to this with RSV v2: with RSV v2, anyone can issue or redeem RSV, and all collateral is stored in a smart contract. RSV v2 possesses enough of the properties of our ultimate vision for the protocol that we’re comfortable with people around the world storing their wealth in RSV. This is super exciting for us and opens up a bunch of new opportunities for the progression of the project.

For the near future, issuance, redemption, and rebalancing are likely to be carried out primarily by sophisticated crypto liquidity providers throughout the ecosystem. While anyone can participate in liquidity provision, some parties may prefer to coordinate directly with us to get set up. You can contact us via contact@reserve.org for assistance.