# lyUSDC

**lyUSDC** is the USD-denominated yield vault of the Ledgity protocol.\
It allows users, DAOs, and institutions to earn **real yield** on USDC while maintaining **self-custody and on-chain liquidity**.

When you deposit **USDC**, you receive **lyUSDC**.\
The **Price-Per-Share (PPS)** of lyUSDC increases as yield is generated.

There are **no lockups**, no staking, and no claiming.\
Your yield is reflected automatically in your **lyUSDC balance value**.

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#### **How It Works (Simple)**

1. Deposit **USDC**
2. Receive **lyUSDC (1:1)**
3. The **PPS** of lyUSDC increases as yield accrues
4. Withdraw **USDC** at any time based on PPS value

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#### **Yield Source**

**lyUSDC** yield comes from a **diversified RWA portfolio** managed through the SARR Fund:

| Allocation                       | Description                                |
| -------------------------------- | ------------------------------------------ |
| **80% RWA Portfolio**            | Short-duration, cash-flow-producing assets |
| **15% DeFi Strategies**          | Low-risk lending (Morpho / Aave)           |
| **5% On-Chain Liquidity Buffer** | Ensures withdrawals at any time            |

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#### **Withdrawals**

| Withdrawal Type                | Delay        | Notes                                      |
| ------------------------------ | ------------ | ------------------------------------------ |
| **Instant**                    | Immediate    | As long as buffer liquidity is available   |
| **Scheduled**                  | 24–72h       | When RWA liquidity is cycled               |
| **Large withdrawals >10% TVL** | Case-by-case | Coordinated to protect portfolio integrity |

You can **always withdraw**, but timing depends on liquidity conditions.

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#### **Use Cases**

* Safe parking of stablecoins between plays
* DAO runway preservation
* Hedge against inflation while remaining liquid
* Stable base collateral for on-chain strategies

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#### **Integrations**

* **Chainlink CCIP** supports seamless bridging across chains
* DeFi integrations (DEX LPs, lending protocols) coming in 2026