The live price of Reserve Rights is - per (RSR / USD) with a current market cap of $501.11M USD. 24-hour trading volume is - USD. RSR to USD price is updated in real-time. Reserve Rights is -% in the last 24 hours with a circulating supply of 57.25B.
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Reserve aims to build a stable, distributed stablecoin and digital payment system. Its stablecoin features self-regulating supply based on demand and is backed by 100% or more on-chain collateral. The ultimate goal of Reserve is to create a universal store of value—especially in regions with unreliable financial infrastructure and/or high inflation. The project is supported by influential investors including PayPal co-founder Peter Thiel, YCombinator president Sam Altman, and many others from Silicon Valley and the digital asset space. The Reserve Rights token (RSR) is mainly used to maintain the price stability of the Reserve stablecoin, which is issued by the Reserve system and can be held and used like fiat or other tokens.
Reserve is a global stablecoin and a digital payment system ideal for individuals and businesses in high-inflation countries.
Asset Protection
Reserve helps individuals and businesses in high-inflation countries protect their assets by converting devalued currencies into digital money.
Cross-Border Remittances
Reserve makes cross-border remittances more efficient. Individuals can send money home directly, and businesses can pay suppliers using a stable currency.
Seamless Payments
Reserve allows businesses to replace inflationary currencies with stable digital money, making payments to international suppliers easier.
The Reserve stablecoin is a token based on the Reserve Protocol and is an ERC20 token, backed by a vault of reserve assets and redeemable in value. To understand the Reserve stablecoin, one must understand that the Reserve Protocol network includes three types of tokens: the Reserve stablecoin, Reserve Rights (RSR), and collateral tokens.
The Reserve token is the stablecoin, similar to USD or USDT. The other two—Reserve Rights (RSR) and collateral tokens—are designed to maintain Reserve’s stability. RSR captures value within the protocol and backs the Reserve stablecoin during value drops in the collateral vault.
Collateral tokens represent the assets held in Reserve Protocol’s vault. These are not native to the protocol but consist of various tokenized assets. Collateral tokens are stored in smart contracts and support the value of the Reserve stablecoin. If you think of the pre-1971 U.S. dollar-gold relationship, the Reserve stablecoin is like the dollar, and collateral tokens are like gold.
The protocol requires that Reserve stablecoins be backed by at least 100% collateral value. Collateral can include cryptocurrencies, tokenized commodities, or equities. The composition will initially be simple and later become more diversified.
Initially, the Reserve stablecoin is pegged to the U.S. dollar. Eventually, it is intended to de-peg and become a stable unit of account for the crypto ecosystem.
The initial version of the Reserve Protocol includes a fiat-pegged, relatively centralized digital currency. Over time, each protocol component will migrate on-chain and move away from the founding team’s control, eventually becoming fully decentralized. The roadmap consists of three phases:
1. Centralized Phase – Reserve tokens are backed by USD held by a trust company.
2. Decentralized Phase – Reserve tokens are backed by a changing basket of assets in a decentralized manner, still pegged to the USD.
3. Independent Phase – Reserve tokens de-peg from USD and aim to maintain stable purchasing power regardless of USD fluctuations.
This overview focuses on the second phase, where Reserve tokens are backed by a decentralized basket of assets while maintaining a stable value relative to the USD.
The Reserve Protocol can be deployed on any smart contract platform or on its own blockchain. Initially, development is on Ethereum, with plans to support interoperability across major smart contract platforms.
The initial target value of the Reserve token is $1.00, but the long-term goal is de-pegging from the USD.
Tokens
The Reserve Protocol involves three types of tokens:
1. Reserve Token – A stable digital currency that can be held and spent like the USD or other fiat.
2. Reserve Rights Token (RSR) – A utility token that helps stabilize the Reserve token.
3. Collateral Tokens – Other assets held by Reserve smart contracts to maintain the value of the Reserve token, akin to how gold once backed the U.S. dollar. The protocol aims to hold collateral equal to or greater than the total value of Reserve tokens. Many of these collateral tokens will be tokenized versions of real-world bonds, property, and commodities. As more assets are tokenized, the portfolio will start simple and gradually diversify.
How Reserve Tokens Stay Stable
What happens if demand for Reserve tokens drops and the secondary market price falls?
Assume the redemption price is $1.00. If the market price falls to $0.98, arbitrageurs will be incentivized to buy the tokens and redeem them via the smart contract for $1.00 worth of collateral tokens. They will continue to buy from the open market until the price returns to parity with the redemption value.
When demand increases, the reverse happens. If Reserve tokens trade at $1.02, speculators may buy newly minted $1.00 Reserve tokens (possibly using RSR if excess capacity exists), and sell them on the market until profits disappear—i.e., when the market price returns to $1.00.
How Reserve Protocol Capitalizes
The Reserve Protocol holds collateral tokens that back the Reserve token. When new Reserve tokens are issued, the assets used to purchase them are held as collateral. This ensures that the backing ratio remains 1:1 even as supply grows.
Sometimes the protocol may set a collateral ratio greater than 1:1. In such cases, issuing more Reserve tokens requires additional capital. To raise this, the protocol may sell Reserve Rights tokens in exchange for more collateral tokens. Eventually, any excess collateral is not wasted—it is returned to RSR holders once the collateral ratio returns to 1:1.
The Reserve Rights to other currencies exchange rate?
